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Global production networks and host-site industrial upgrading: the case of the semiconductor industry in Thailand

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  • Patarapong Intarakumnerd
  • Pun-Arj Chairatana
  • Preeda Chaiyanajit

Abstract

Although Thailand’s electronics industry has been considered as one of the strategic sectors, the evidence in this article shows that it is dominated by midstream and downstream activities. Despite accounting for a quarter of electronics exports, semiconductors manufacturing is confined to low value-added activities. The lack of industrial policy has restricted technological upgrading in the industry. Upgrading efforts made by both public and private initiatives have so far failed. The case studies show that firms in Thailand must acquire and develop technological capabilities to stimulate the industry’s transformation from low-to-high value-added activities.

Suggested Citation

  • Patarapong Intarakumnerd & Pun-Arj Chairatana & Preeda Chaiyanajit, 2016. "Global production networks and host-site industrial upgrading: the case of the semiconductor industry in Thailand," Asia Pacific Business Review, Taylor & Francis Journals, vol. 22(2), pages 289-306, April.
    • Handle: RePEc:taf:apbizr:v:22:y:2016:i:2:p:289-306
    DOI: 10.1080/13602381.2015.1069545
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    References listed on IDEAS

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    1. Rajah Rasiah, 2010. "Are electronics firms in Malaysia catching up in the technology ladder?," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 15(3), pages 301-319.
    2. Rasiah, Rajah, 2003. "Foreign ownership, technology and electronics exports from Malaysia and Thailand," Journal of Asian Economics, Elsevier, vol. 14(5), pages 785-811, October.
    3. Rajah Rasiah, 2009. "Expansion and slowdown in Southeast Asian electronics manufacturing," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 14(2), pages 123-137.
    4. Hobday, Michael & Rush, Howard, 2007. "Upgrading the technological capabilities of foreign transnational subsidiaries in developing countries: The case of electronics in Thailand," Research Policy, Elsevier, vol. 36(9), pages 1335-1356, November.
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    Cited by:

    1. Upalat Korwatanasakul, 2023. "Thailand and the Middle-Income Trap: An Analysis from the Global Value Chain Perspective," PIER Discussion Papers 202, Puey Ungphakorn Institute for Economic Research.
    2. Rolv Petter Amdam & Ove Bjarnar & Jinmin Wang, 2018. "The dynamic role of small- and medium-sized multinationals in global production networks: Norwegian maritime firms in the Greater Shanghai Region in China," Asia Pacific Business Review, Taylor & Francis Journals, vol. 24(1), pages 37-52, January.
    3. Rajah Rasiah & Nazia Nazeer, 2016. "Comparing Industrialization in Pakistan and the East Asian Economies," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 21(Special E), pages 167-192, September.

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