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Type: Journal article
Title: The impact of foreign direct investment on domestic supplier industries within Chinese provinces
Author: Zuo, A.
Round, D.K.
Citation: Journal of the Asia Pacific Economy, 2012; 17(3):383-398
Publisher: Taylor & Francis
Issue Date: 2012
ISSN: 1469-9648
Statement of
Alec Zuo and David K. Round
Abstract: We investigate empirically whether the presence of foreign enterprises in downstream industries has increased intra-provincial backward linkages in China, and what characteristics of foreign direct investment (FDI) contribute to the generation of backward linkages. We conclude that FDI in downstream industries generally has failed to induce higher backward linkages except for the electronic and telecommunications equipment industry. Across industries, those characteristics of FDI, such as the labour productivity gap between indigenous and foreign companies, whether FDI is from Hong Kong/Macau/Taiwan or other countries and whether FDI is wholly owned or jointly owned, appear less influential on the backward linkages than the activities of foreign enterprises (e.g. value-added activities and import and export activities).
Keywords: FDI; backward linkages; China
Rights: © 2012 Taylor & Francis
RMID: 0030033190
DOI: 10.1080/13547860.2012.694688
Appears in Collections:Global Food Studies publications

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