Import Substitution Policies (BRIC)

Developing nations have followed competing strategies for industrial development; “imports substitution policies” are one of them. This strategy leads to an economic development by involving an enlarged use of trade barriers in order to protect national industries from foreign competition.

Trade War: The power of "Chicken Feet"

The decision of President Barack Obama to impose new tariffs on Chinese tires for three years to protect American industry strongly displeased China. These rights are amounted to 35% the first year, 30% the second and 25% the third. This decision which represents a severe form of protectionism, has undermined the economic relationship between the two countries. The imposition of tariffs was intended to reduce imports of Chinese goods, but it had as consequence the destruction of 100,000 jobs in China, and it costs about a billion dollars to the Chinese tire industry.

Unintentional Trade Barrier:The global economy has it been disrupted by the Japanese earthquake?

March 11, 2011, earthquake, tsunami and nuclear crisis, the three disasters have destroyed the third largest economy in the world after the USA and China. Japan faces the worst event since the Second World War. The triple disaster has greatly affected the Japanese economy. In addition to the dramatic human consequences, this natural disaster has destroyed production capacity in the affected areas and has caused a supply shortage in electricity. It also disrupted the domestic and international economies, by breaking the chains. This last result is the most contributed to the sharp decline in production in Japan and neighbouring economies.