Abstract

We seek to identify the major vectors reconfiguring contemporary industrial policy
in the US and the European Union to inform policymaking in South America and Brazil
given their specific challenges to economic development. We stress two main vectors, national
security and environmental concerns, which have unleashed a tendency toward the nationalization
or regionalization of supply chains through import substitution. They have also been grounding industrial policy on comprehensive planning embracing several sectors and
activities. The essential question for South America and Brazil is to combine these concerns
departing from a reality underpinned by deindustrialization, environmental degradation (deforestation),
and social marginalization.

JEL Classification: L50; O14; O38; P11; F13.