Usha C.V. Haley - Subsidies to Chinese Industry: State Capitalism, Business Strategy, and Trade Policy

Subsidies to Chinese Industry

State Capitalism, Business Strategy, and Trade Policy

Usha C. V. Haley

and

George T. Haley

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Oxford University Press 2013

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Library of Congress Cataloging-in-Publication Data

Haley, Usha C. V.

Subsidies to Chinese industry : state capitalism, business strategy and trade policy / Usha C. Haley and George T. Haley.

p. cm.

Includes bibliographical references and index.

ISBN 978-0-19-977374-9 (cloth : alk. paper) 1. Industrial policyChina. 2. IndustriesChinaFinance. 3. SubsidiesChina. 4. CapitalismChina. 5. ChinaCommercial policy. I. Haley, George T. II. Title.

HD3616.C63H35 2013

338.95102dc23

2012038157

1 3 5 7 9 8 6 4 2

Printed in the United States of America on acid-free paper

Many years ago, I learned from one of our diplomats in China that one of the principal Chinese curses heaped upon an enemy is, May you live in an interesting age. Surely, he said, no age has been more fraught with insecurity than our own present time.

Sir Austen Chamberlain, brother of British prime minister Neville Chamberlain, quoted by Frederic R. Coudert in Proceedings of the Academy of Political Science, 1939

We dedicate this book to the working men and women around the world who soldier on with integrity, dedication, and commitment in our uncertain age.

Usha Haley is Professor of International Business at Massey University, Auckland, New Zealand, and Research Associate at the Economic Policy Institute, Washington, DC. She has testified on her research on China to the congressionally mandated US-China Economic and Security Review Commission and twice before the Committee on Ways and Means, including on the Nonmarket Economy Trade Remedy Act. She has presented on her research on China before the US International Trade Commission, the US Department of Commerce, and the US Trade Representative, and her research has advised the US-China Joint Commission on Commerce and Trade, the primary trade dialogue between the two countries. Her research on Chinese subsidies has been incorporated into three pieces of antidumping regulation in the European Union.

Her research focuses on the multinational corporation and international strategic management, especially in Asian and emerging markets, including business-government relations, strategic decision-making, sanctions, and subsidies. She has more than 199 publications and presentations including 24 journal articles (in California Management Review, Harvard Business Review and Journal of Management Studies among others), 36 book chapters, and seven books, two of which have been on international best-seller lists. Her books include Multinational Corporations in Political Environments (reviewed in the Wall Street Journal and Academy of Management Review); The Chinese Tao of Business (reviewed in the Wall Street Journal); New Asian Emperors (reviewed in the Economist); Strategic Management in the Asia Pacific; and Asian Post-crisis Management. She is Coeditor in Chief of the new book series Multinational Investment and Business for Imperial College Press.

She serves or has served on seven corporate, nonprofit, and governmental planning and advisory boards, sits on five academic journals editorial boards, serves as Regional Editor (Asia Pacific) for two journals, and has edited four journal special issues on strategic management in the Asia Pacific. She has served on national and international review boards including the Networks of Centers of Excellence, Canada and the Marsden Fund, New Zealand. Her expertise has been profiled numerous times in the international media including the New York Times, Wall Street Journal, USA Today, Fortune, Investors Business Daily, San Francisco Chronicle, International Herald Tribune, CNN, BusinessWeek, Economist, Barrons, Newsweek, Entrepreneur, National Business Review, Australian, PBS, CNBC, and NPR.

In 2012, she received the Academy of Managements Practice Impact Award for scholarly impact at the Seventy-Second Annual Meetings, Boston. In 2011, she was featured as thought leader on emerging markets at The Economists flagship High-Growth Markets Summit, London. In 2003, she received a Lifetime Achievement Award from the Literati Club (UK) and a panel of academics, businesspersons, and policymakers for contributions to understanding business in the Asia Pacific. In 2010, she was named an American Made Hero for her work with the US Congress. Her PhD is from the Stern School of Business, New York University. She may be contacted through ChinaSubsidies.com.

George Haley is Professor of Marketing at the University of New Haven (UNH), where he teaches in graduate and executive programs; in summer, he serves as Distinguished Guest Professor of Marketing at the School of Business, ITESM in Mexico. He is founding Director of the Center for International Industry Competitiveness, a Center of Excellence at UNH.

He has conducted policy-analysis seminars on China / emerging markets for the National Intelligence Council / CIA, and the US International Trade Commission, and testified twice before the congressionally mandated US-China Economic and Security Review Commission. He also consults with several multinational companies and governments in Asia, Australia, Latin America, and the United States. He serves or has served as Advisor to the Strategic Planning Board of Rio Tinto, Ltd. (Australia), to the Export Promotion Board (State of Connecticut), and to the Metal Manufacturers Education and Training Alliance, and as Mentor in the Distribution Business Management Associations Corporate Global Supply Chain Mentoring Program for senior executives of large multinational corporations.