An Industry in Motion : The Changing Origins of Car and Truck Exports

University essay from Högskolan i Jönköping/IHH, Nationalekonomi


The thesis identifies and discusses the changing structure of international trade and specialization in the industries of cars and heavy trucks. The main contribution of the thesis is that it discusses the patterns from the perspective of the car industry with the similar but in some aspects different industry of heavy trucks as a contrasting example. This method aims at giving more knowledge about the varying challenges that different industries face in a globalized economy. To authors’ knowledge such a direct comparison has not yet been done. Some results presented in the study is that while car producers compete on a global scale the producers of heavy trucks does it on a regional scale. For the OECD 23 car producing countries, this implies competition from producers in countries with low factor input costs. This is probably one of the reasons why OECD 23 car producers have raised the export value or their goods relatively more than the producers of heavy trucks. The thesis also reveals how the patterns of export and specialization have shifted dramatically in both industries.

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