IDEAS home Printed from https://ideas.repec.org/p/era/wpaper/dp-2015-09.html
   My bibliography  Save this paper

Auto and Car Parts Production: Can the Philippines Catch Up with Asia?

Author

Listed:
  • Rene E. OFRENEO

    (School of Labor and Industrial Relations, University of the Philippines, Diliman)

Abstract

The Philippines pioneered the establishment of automotive assembly in Southeast Asia in the 1950s. But Thailand, Indonesia and Malaysia lead the region since the 1990s. The foremost reasons for the decline are policy incoherence and unchecked inflows of smuggled cars, which is reflected in the erosion of the domestic automotive components supply base. Japanese assemblers are increasingly sourcing them from abroad through global production networks (GPNs, which has also made the Philippines a global producer of selected auto parts. Institutional support is necessary for the Philippines to take advantage of GPNs to catching up with the leading countries.

Suggested Citation

  • Rene E. OFRENEO, 2015. "Auto and Car Parts Production: Can the Philippines Catch Up with Asia?," Working Papers DP-2015-09, Economic Research Institute for ASEAN and East Asia (ERIA).
    • Handle: RePEc:era:wpaper:dp-2015-09
    as

    Download full text from publisher

    File URL: http://www.eria.org/ERIA-DP-2015-09.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Aldaba, Rafaelita M., 2008. "Globalization and the Need for Strategic Government-Industry Cooperation in the Philippine Automotive Industry," Discussion Papers DP 2008-21, Philippine Institute for Development Studies.
    2. Rajah Rasiah, 2007. "The systemic quad: technological capabilities and economic performance of computer and component firms in Penang and Johor, Malaysia," International Journal of Technological Learning, Innovation and Development, Inderscience Enterprises Ltd, vol. 1(2), pages 179-203.
    3. Timothy Sturgeon & Johannes Van Biesebroeck & Gary Gereffi, 2008. "Value chains, networks and clusters: reframing the global automotive industry," Journal of Economic Geography, Oxford University Press, vol. 8(3), pages 297-321, May.
    4. Aldaba, Rafaelita M., 2007. "Assessing the Competitiveness of the Philippine Auto Parts Industry," Discussion Papers DP 2007-14, Philippine Institute for Development Studies.
    5. Rajah Rasiah & Fukunari Kimura & Sothea Oum, 2016. "Host-site institutions, production networks and technological capabilities," Asia Pacific Business Review, Taylor & Francis Journals, vol. 22(1), pages 3-20, January.
    6. Sanjaya Lall, 2000. "The Technological Structure and Performance of Developing Country Manufactured Exports, 1985-98," Oxford Development Studies, Taylor & Francis Journals, vol. 28(3), pages 337-369.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rene E. Ofreneo, 2016. "Auto and car parts production: can the Philippines catch up with Asia?," Asia Pacific Business Review, Taylor & Francis Journals, vol. 22(1), pages 48-64, January.
    2. Marcel P Timmer & Sébastien Miroudot & Gaaitzen J de Vries, 2019. "Functional specialisation in trade," Journal of Economic Geography, Oxford University Press, vol. 19(1), pages 1-30.
    3. Judit Nagy & Zsófia Jámbor, 2018. "Competitiveness In Global Trade: The Case Of The Automobile Industry," Economic Annals, Faculty of Economics and Business, University of Belgrade, vol. 63(218), pages 61-84, July – Se.
    4. Gehl Sampath, Padmashree & Vallejo, Bertha, 2018. "Global Value Chains and Upgrading: What, When and How?," MERIT Working Papers 2018-016, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    5. Franklin Maduko & Timea Pál & László Bruszt, 2021. "The Role of Domestic Factors in the EU’s Governance of Labour Standards through Trade," RSCAS Working Papers 2021/52, European University Institute.
    6. Quimba, Francis Mark A. & Rosellon, Maureen Ane D., 2011. "Innovation in the Automotive Sector of the Philippines," Discussion Papers DP 2011-17, Philippine Institute for Development Studies.
    7. Francesco Bogliacino & Mario Pianta, 2016. "The Pavitt Taxonomy, revisited: patterns of innovation in manufacturing and services," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 33(2), pages 153-180, August.
    8. Jarreau, Joachim & Poncet, Sandra, 2012. "Export sophistication and economic growth: Evidence from China," Journal of Development Economics, Elsevier, vol. 97(2), pages 281-292.
    9. Robert Z. Lawrence & Lawrence Edward, 2010. "Do Developed and Developing Countries Compete Head to Head in High Tech?," Working Paper Series WP10-8, Peterson Institute for International Economics.
    10. Wang, Liang & Tan, Justin & Li, Wan, 2018. "The impacts of spatial positioning on regional new venture creation and firm mortality over the industry life cycle," Journal of Business Research, Elsevier, vol. 86(C), pages 41-52.
    11. Tran Nhuan Kien & Tran Nhuan Kien & Hong Ryul Lee & Yoon Heo, 2010. "Dynamic Patterns of Korea-Vietnam Trade Relations," International Area Studies Review, Center for International Area Studies, Hankuk University of Foreign Studies, vol. 13(2), pages 257-279, June.
    12. Lord, Montague, 2015. "Regional Economic Integration in Central Asia and South Asia," MPRA Paper 66436, University Library of Munich, Germany.
    13. Isaksson, Olov H.D. & Simeth, Markus & Seifert, Ralf W., 2016. "Knowledge spillovers in the supply chain: Evidence from the high tech sectors," Research Policy, Elsevier, vol. 45(3), pages 699-706.
    14. Chang, Sungyong & Kim, Hyunseob & Song, Jaeyong & Lee, Keun, 2024. "Dynamics of imitation versus innovation in technological leadership change: Latecomers’ catch-up strategies in diverse technological regimes," Research Policy, Elsevier, vol. 53(9).
    15. Carlos Morales, 2011. "Variedades de recursos naturales y crecimiento económico," Revista Desarrollo y Sociedad, Universidad de los Andes,Facultad de Economía, CEDE, December.
    16. Kuroiwa, Ikuo, 2014. "Value added trade and structure of high-technology exports in China," IDE Discussion Papers 449, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    17. Gao, Yue & Whalley, John & Ren, Yonglei, 2014. "Decomposing China's export growth into extensive margin, export quality and quantity effects," China Economic Review, Elsevier, vol. 29(C), pages 19-26.
    18. Alje van Dam & Koen Frenken, 2019. "Variety, Complexity and Economic Development," Papers 1903.07997, arXiv.org.
    19. Benoît Mahy & François Rycx & Guillaume Vermeylen & Mélanie Volral, 2022. "Productivity and wage effects of firm‐level upstreamness: Evidence from Belgian linked panel data," The World Economy, Wiley Blackwell, vol. 45(7), pages 2222-2250, July.
    20. Sanjib Pohit & Sanjukta Basu, 2012. "High Technology Merchandise Exports: Where does India Stand?," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 13(2), pages 183-206, September.

    More about this item

    Keywords

    automotive; global production networks; comparative advantage; supply chain;
    All these keywords.

    JEL classification:

    • L62 - Industrial Organization - - Industry Studies: Manufacturing - - - Automobiles; Other Transportation Equipment; Related Parts and Equipment
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:era:wpaper:dp-2015-09. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ranti Amelia (email available below). General contact details of provider: https://edirc.repec.org/data/eriadid.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.