The evolution and challenges of Latin American industrial development in the twenty-first century: an analysis form Argentina, Brazil and Mexico

Abstract

During the beginning of the twentieth century, one of the most important developments recorded in many Latin American countries was the manufacturing sector outstanding performance. For several years, it grew at rates above the average of the economy (Azpiazu and Schorr 2010a; Porta and Fernández Bugna 2008; Porta et al. 2014; Santarcángelo 2013), encouraged by the application of industrial polices (IPs) combined with traditional instruments, aimed at promoting innovation and technological modernization initiatives (Ninomiya 2015; Palacios 2013; Santarcángelo et al. 2017).The objective of this chapter is to analyze the industrial performance of Argentina, Brazil, and Mexico, the three most industrialized countries in the region, which together account on average for at least 75% of the value added generated by the manufacturing sector in Latin America. To do this, we will examine not only the global changes that have occurred in capitalism and influenced the dynamics of economic growth that these countries have had since the beginning of the twenty-first century, but also the impact of the IPs applied and the role of the state, as well as the main challenges the countries will face in the years to come.