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Technology Accumulation and the Division of Labour between China, Taiwan and Japan: Taiwanese Automotive Parts, and Die and Mould Firms in China

Author

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  • Yuri Sadoi

    (Faculty of Economics, Meijo University, Nagoya, Japan)

Abstract

This paper seeks to analyze changes in the technical division of labour of Taiwanese automotive parts, and die and mould manufacturers in China using empirical data from a 2010 survey conducted in Kunshan. The evidence shows that these firms have upgraded considerably through strong technical collaboration with firms and imports of capital equipment from Japan. Both competition and cooperation have played an important role in the advancement of Taiwanese component and parts firms. The division of labour of automobile parts and dies and moulds appear to show firms in Japan and Taiwan enjoying cutting edge and intermediate technologies, while those in China are characterized by low end technology. However, owing to intense competition, the catching up speed of Chinese firms in China has accelerated and the gap has narrowed.

Suggested Citation

  • Yuri Sadoi, 2011. "Technology Accumulation and the Division of Labour between China, Taiwan and Japan: Taiwanese Automotive Parts, and Die and Mould Firms in China," Institutions and Economies (formerly known as International Journal of Institutions and Economies), Faculty of Economics and Administration, University of Malaya, vol. 3(3), pages 397-414, October.
    • Handle: RePEc:umk:journl:v:3:y:2011:i:3:p:397-414
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    File URL: http://ijie.um.edu.my/RePEc/umk/journl/v3i3/Fulltext1.pdf
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    References listed on IDEAS

    as
    1. Rasiah, Rajah, 1994. "Flexible Production Systems and Local Machine-Tool Subcontracting: Electronics Components Transnationals in Malaysia," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 18(3), pages 279-298, June.
    2. Rajah Rasiah, 2004. "Foreign Firms, Technological Capabilities and Economic Performance," Books, Edward Elgar Publishing, number 3553.
    3. Thelen,Kathleen, 2004. "How Institutions Evolve," Cambridge Books, Cambridge University Press, number 9780521546744.
    4. Hobday, Mike, 1995. "East Asian latecomer firms: Learning the technology of electronics," World Development, Elsevier, vol. 23(7), pages 1171-1193, July.
    5. Thelen,Kathleen, 2004. "How Institutions Evolve," Cambridge Books, Cambridge University Press, number 9780521837682.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Yutaka Fujioka & Norio Kambayashi, 2022. "Learning by teaching technological knowledge: conceptual skill development in Japanese overseas subsidiaries," SN Business & Economics, Springer, vol. 2(9), pages 1-32, September.

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    More about this item

    Keywords

    - automotives; China; international division of labour; Japan; Taiwan; technology;
    All these keywords.

    JEL classification:

    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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