Second image IPE and industrial policy in non-hegemonic powers: the China shock in Brazil and beyond
Abstract
Drawing on the perspective of “second image IPE,” this article examines how China’s rise has reshaped the economies of non-hegemonic powers and affected their capacity to pursue industrial policy. While the “China shock” in advanced economies has attracted significant attention, its consequences for industrial policy in non-hegemonic states remain largely overlooked. This study addresses this gap by analyzing global trade patterns from 1990 to 2020 and conducting a case study of Brazil, a country that has been particularly exposed to these dynamics. We highlight how large-scale Chinese import penetration and Dutch disease effects have undermined the effectiveness of industrial policy.
Fields of Study & Subjects
Asian Industrial and Economic Development
Economic Theory and Policy
Brazilian History and Foreign Policy
Publication details
- Journal / source
- Journal of Economic Policy Reform
- Publisher
- Informa UK Limited
- Volume
- 29
- Issue
- 3
- Pages
- 288–310
- Publication date
- 2 July 2026
- Language
- EN