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Critical Analysis of the Relocation Strategy of Production Between National Protectionist Policies and Global Supply and Value Chains

Critical Analysis of the Relocation Strategy of Production Between National Protectionist Policies and Global Supply and Value Chains

José G. Vargas-Hernández
Copyright: © 2021 |Pages: 14
ISBN13: 9781799883142|ISBN10: 1799883140|ISBN13 Softcover: 9781799883159|EISBN13: 9781799883166
DOI: 10.4018/978-1-7998-8314-2.ch002
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MLA

Vargas-Hernández, José G. "Critical Analysis of the Relocation Strategy of Production Between National Protectionist Policies and Global Supply and Value Chains." Impact of Global Issues on International Trade, edited by Ahu Coşkun Özer, IGI Global, 2021, pp. 23-36. https://doi.org/10.4018/978-1-7998-8314-2.ch002

APA

Vargas-Hernández, J. G. (2021). Critical Analysis of the Relocation Strategy of Production Between National Protectionist Policies and Global Supply and Value Chains. In A. Coşkun Özer (Ed.), Impact of Global Issues on International Trade (pp. 23-36). IGI Global. https://doi.org/10.4018/978-1-7998-8314-2.ch002

Chicago

Vargas-Hernández, José G. "Critical Analysis of the Relocation Strategy of Production Between National Protectionist Policies and Global Supply and Value Chains." In Impact of Global Issues on International Trade, edited by Ahu Coşkun Özer, 23-36. Hershey, PA: IGI Global, 2021. https://doi.org/10.4018/978-1-7998-8314-2.ch002

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Abstract

This chapter aims to critically analyze the implications that the national protectionist policies have on the global supply and value chains and the relocation of production. The analysis is based on the assumptions that the global economy is facing the possibility of decoupling of many trade connections, and this trend favors deglobalization processes long promoted by populism, nationalism, and economic protectionism. It is concluded that global supply, production, and value chains, although being economically efficient, are no longer any more secure under national protectionist policies, and therefore, the relocation of production processes is mainly due to the increase in the level of income and wages of the developing countries that are the destination and which reduce the advantages to relocate.

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