Bryn Mawr College Scholarship, Research, and Creative Work at Bryn Mawr College Political Science Faculty Research and Scholarship Political Science 2013 Fragmented Liberalisation in the Chinese Automotive Industry: The olitP ical Logic behind Beijing Hyundai’s Success in the Chinese Market Seung-Youn Oh Bryn Mawr College,
[email protected] Let us know how access to this document benefits ouy . Follow this and additional works at: http://repository.brynmawr.edu/polisci_pubs Part of the Political Science Commons Custom Citation Oh, Seung-Youn, "Fragmented Liberalisation in the Chinese Automotive Industry: The oP litical Logic behind Beijing Hyundai’s Success in the Chinese Market," The China Quarterly 216 (2013): 920-945. This paper is posted at Scholarship, Research, and Creative Work at Bryn Mawr College. http://repository.brynmawr.edu/polisci_pubs/30 For more information, please contact
[email protected]. Fragmented Liberalisation in the Chinese Automotive Industry: The Political Logic behind Beijing Hyundai’s Success in the Chinese Market Seung-Youn OH ABSTRACT [Words: 150] This paper explains the extraordinary rise of the Beijing Hyundai Motor Company (BHMC), a joint venture between a state-owned enterprise run by the Beijing municipal government and Hyundai Motor Company. Within the span of three years, the BHMC soared to become China’s second-ranked automotive manufacturer in terms of units sold. I highlight the role of the Beijing municipal government in creating favourable market conditions for the BHMC during its initial operation phase (2002–2005). The Beijing municipal government selectively adopted protectionist measures and liberalising measures to promote its locally based company. I characterise this practice as fragmented liberalisation, a system through which sub-national governments discriminately apply WTO or central government regulations to promote their local joint venture partner.