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A global resurgence of industrial policymaking has been evident in low-carbon industries. These sectors – renewable energy, battery storage, and electric vehicles, among others – have seen levels of state intervention rarely witnessed outside of late economic development. But because of China’s dominant position in manufacturing such products, industrial policies for clean energy industries have been accompanied by calls for a reshoring of manufacturing, including in the United States, which is examined in this chapter. While such reshoring may be politically expedient, it presents obstacles to global emissions reductions. First, calls for reshoring likely understate the extent to which the world must rely on Chinese manufacturing capacity for clean energy technologies, until alternative supply chains are established elsewhere. Second, these competitive approaches to industrial policymaking put government measures in explicit tension with the need for global collaboration to meet transnational decarbonization goals. The politicization of clean energy industrial policies may yield short-term political successes but risks long-term instability on emissions reductions and decarbonization.
The need for critical minerals for various technologies for commercial and defense use has led to a range of national policy interventions. However, many of these new laws to encourage mining, or protect local industries have not considered as scientific data on mineral reserves or the economic viability of setting specific targets. The EU’s Critical Raw Materials Act is a pivotal case in point that illustrates this challenge. We present a review of the range of laws and policies that have been set forth worldwide.
Technical Summary
Growing international conflict between countries that have large mineral production and processing capacity and those which are in demand of critical raw materials for new technologies has led to a proliferation of policies that promote resource nationalism or ‘friend-shoring’. We analyzed over 400 critical raw material policies to date that have been documented by the International Energy Agency's policy tracking tool and present the findings of the six most active jurisdictions. The EU's Critical Raw Materials Act which came into force in May 2024 stands out as the most significant legislative step taken thus far but needs better interface with environmental and social data on impacts and benefits. By analyzing the challenges faced by lithium mining projects across a range of technologies and geographic locations in Europe, we suggest the use of data generated from life cycle analyses, economic geological calculations, and ecosystem service valuation in improving the implementation of such policies and also mitigate social conflicts.
Social Media Summary
There are now more than 400 critical raw material policies worldwide, but they need to be predicated in economic and geological data to be effective.
While from an instrumental perspective stakeholder relations can promote sustained competitive advantage, normative arguments underscore the importance of morally informed principles, especially when relational strategies have uncertain future outcomes and are prone to imitation. This study investigates how such instrumental and normative views can be complementary based on the case study of Natura, a cosmetics company procuring natural inputs from the Amazon rainforest via supplier relations that are open to multiple parties, including competitors. The research shows that Natura developed and reinforced a morally informed normative core specifying how the company and its managers should act. This resulted in a long-term commitment to the open relational strategy, especially when future outcomes were largely uncertain, which in turn promoted emergent instrumental gains via deepened relational attachments and substantive stakeholder engagement. Importantly, the company’s controlling shareholders strongly influenced the normative core, thus underscoring the importance of identifying key shareholders and their values.
Public food procurement incentives and targeted policies by state and Federal governments are one of the most frequently enacted strategies to leverage food spending to promote co-benefits related to economic, environmental, and social outcomes. Here we use an optimization model to explore potential outcomes of policy alternatives and integrate co-benefit dimensions into schools' agri-food supply chains via Farm to School procurement incentives. We find that in the absence of policy supports, school food authorities are unlikely to participate in local food procurement programs. We then place the findings in context by inferring the level of financial incentives that are needed to reduce barriers to schools' participation. Our findings have implications for community and economic development policies, particularly those seeking to support agriculturally dependent areas via elevated institutional food procurement using the case of policies framed for a school setting.
‘De-risking’ is the latest buzzword in the China strategy of the United States and its allies. It means limiting dependence on and engagement with China in select strategic sectors. One of such sectors concerns critical minerals (CMs) which are essential for the ongoing green economic transition. To secure access to CMs and reduce reliance on China, the US and its allies have been developing networks for ally-shoring supply chains. A major problem with the ‘de-risking’ strategy in this regard is that it treats China as the risk and hence excludes China from the discussions and collaboration on global supply chain issues. In this paper, we argue that this strategy fails to consider China's strategies and policies regarding CMs. We therefore offer a detailed analysis of China's policies which shows that they have been primarily aimed at addressing internal challenges and policy priorities in China rather than dominating, weaponizing, or causing disruptions in global supply chains. To address supply chain risks most effectively, international collaborative frameworks should engage with, rather than exclude, China. Confrontational strategies with ‘China being the risk’ at the core might themselves be a risk by undermining rational policymaking and leading to disruptive policies.
Modern slavery is an amalgam of legal concepts defined in international law united by a shared characteristic – they are all forms of unfree labour: one person deprives another person of their freedom for profit. The introduction explains how unfree labour involving migrant workers and supply chains is particularly troublesome for states to govern because these transnational vectors do not fit within the ‘default’ territorial format of legal jurisdiction and, thus, challenge traditional ideas of state sovereignty. It treats modern slavery laws, which combine international, national, and (sometimes) regional laws, as an example of transnational law and shows how, in this context, the nation state is but one among an assemblage of governance actors. It develops a multidimensional conception of jurisdiction to explore the transnational legal governance of unfree labour and to illustrate how modern slavery laws reconfigure traditional understandings of sovereignty.
The ILO seized on the reference to ‘forced labour’ in the definition of human trafficking in the UN protocol to carve out a prominent role as a key knowledge producer in the global antislavery governance network. This chapter describes how the ILO’s Forced Labour Convention treats consent as the mark of free labour. Despite this narrow understanding, it argues that, by diagnosing forced labour as a problem resulting from the failure of labour market regulation, the ILO’s prescription extends well beyond unfree labour. It also explains how the traditional territorial format of the ILO’s governance authority, which is rooted in a national sovereignty, makes it difficult to regulate forced labour associated with international migration and global supply chains. The ILO’s biggest challenge: to persuade the employers’ organisation, which along with states and trade unions are the ILO’s constituents, to agree to a convention to govern global supply chains.
Focusing on the role of the Australian charitable foundation Walk Free, an organisation connected to the faith-based abolitionist movement, this chapter traces the emergence of a global antislavery governance network and explores the role of philanthrocapitalists and public–private partnerships in it. It shows how Walk Free established an ethical business alliance that portrays slavery in global supply chains as resulting from market failure and depicts the control large transnational corporations have over their supply chains as an antidote to the limits of state sovereignty. Walk Free and the global antislavery governance network advocates for market-based solutions to the problem of modern slavery – such as supply chain transparency and mandatory human rights due-diligence legislation – that enlist transnational corporations located in the Global North to enforce international legal standards against contractors located primarily in the Global South. This chapter illustrates how scale and governance interact in ways that reconfigure sovereignty and shore up neoliberal capitalism.
This chapter explains how modern slavery figured in a revitalised vision of British global sovereignty as EU membership was under threat. The Coalition Government assembled an elite policy network and forged a bipartisan consensus in favour of the Modern Slavery Act 2015. Although primarily carceral, the act also required large corporations to disclose their efforts to rid their supply chains of slavery. Part of the Conservative government’s antislavery agenda, the Immigration Act 2016 pulled labour regulation further towards criminal law. As home secretary (2010–2016) and prime minister (2016–2019), Theresa May positioned the United Kingdom as a critical actor in the global antislavery governance network and fashioned the United Kingdom’s fight against modern slavery as a key plank in her vision of Global Britain. After May’s resignation, the pandemic, and Brexit, the Conservative government came to treat victims of modern slavery as if they were illegal migrants undeserving of human rights.
Modern slavery laws are a response to global capitalism, which undermines the distinction between free and unfree labour and poses intense challenges to state sovereignty. Instead of being a solution, Constructing Modern Slavery argues that modern slavery laws divert attention from the underlying structures and processes that generate exploitation. Focusing on unfree labour associated with international immigration and global supply chains, it provides a novel socio-legal genealogy of the concept 'modern slavery' through a series of linked case studies of influential actors associated with key legal instruments: the United Nations, the United States, the International Labour Organization, the European Union, the United Kingdom, and Walk Free Foundation. Constructing Modern Slavery demonstrates that despite the best efforts of academics, advocates, and policymakers to develop a truly multifaceted approach to modern slavery, it is difficult to uncouple antislavery initiatives from the conservative moral and economic agendas with which they are aligned. This title is also available as Open Access on Cambridge Core.
Chapter 6 studies East Asian economic growth and development strategy. It starts with a section on how economic growth and the theory of growth have been constructed. It then discusses the East Asian economic miracle – rapid growth in GDP per capita with relative equity. Most East Asian countries have chosen a hybrid path, often emulating each other and building on recent successes. Most adopted the developmental-state strategy to different degrees and at different points, and they generally view modernization as a way to regain their past glories. This chapter focuses on material wealth production, with a particular emphasis on how East Asian nations adapt and innovate. It also discusses the consequences of East Asian growth in terms of the rise and fall of nations, the “rich nation, strong army”, the contest of political systems, and the environment. Uneven economic growth is a source of a shifting balance of power.
In comparison to other high-risk industrial sectors, human rights due diligence (HRDD) in the arms sector remains unclear and underdeveloped. This article elucidates how supply chain regulations can provide pertinent guidance for clarifying and elaborating the standards and requirements of the HRDD obligations of arms companies. Part I reaffirms the importance of independent HRDD obligations for arms companies due to the significant human rights risks posed by arms exports. Part II contextualises the limitations in the development of HRDD in the arms industry by examining the corporate policies of major arms companies. Part III explicates why supply chain regulations for conflict minerals are suitable guidance for clarifying and elaborating the HRDD obligations of arms companies. Part IV details five elements of an HRDD framework for arms companies that are essential for comprehensively identifying, evaluating and addressing the human rights risks of arms exports. Part V offers concluding remarks.
The Korean ‘Safe Trucking Freight Rates System’ (‘Safe Rates System’) was an important effort to address road safety risks by regulating road transport supply chains. In effect between 2020 and 2022, the system set minimum standards for truck driver pay and placed obligations on road transport supply chain parties to comply with these standards. In this article, we explain how the system developed in response to the deregulation and restructuring of the road freight market in the late 1980s and 1990s. We also trace the influence on the system of regulatory development in Australia and debates at the International Labour Organization (ILO). In 2019, workers, employers, and government representatives at the ILO reached an agreement on the main principles of the Safe Rates regulatory model through the adoption of the Guidelines on the promotion of decent work and road safety in the transport sector. We use these principles to explain and evaluate the Korean system. We also summarise assessments of the system’s impact, arguing that the results of the few studies that exist, justify the continuation of the system. By locating Korean Safe Rates as part of a broader global trend, we respond to opponents’ claims that the system is without international precedent and make the system eligible for a global audience. In so doing, we seek to contribute to the ongoing debate about the reintroduction of Safe Rates in Korea and draw lessons from the Korean experience that may be used in other countries.
The electric guitar is often presented as a novel but straightforward solution to a particular problem: amplification. It is remarkable, then, that histories of the instrument focus mainly on the iconic six-string itself. No electric guitar is complete without an amplifier, and no companion to the electric guitar is complete without a corresponding history of electronic amplification. This chapter is about certain tendencies and possibilities that have existed around electric guitar amplification. It covers the historical development of the amplifier, focusing less on a loudness teleology than the instrument’s social and political construction. It also discusses the history of amplification in relation to recent scholarly interests in signal chains and supply chains. The chapter concludes with a discussion of electric guitar amplification and the problem of electricity—suggesting that the power of the amplifier has never been found in loudness alone.
Economic tradecraft is a set of duties, responsibilities and skills required of diplomats working in economic affairs. It is a key instrument in the diplomatic tradecraft toolbox. As is the case with their colleagues in the political career track, economic officers work both at diplomatic missions abroad and at headquarters. On the surface, it may appear that a country’s economic and commercial diplomats do the same type of work abroad, but that is not quite the case. Economic officers inform policymaking at headquarters by monitoring and analyzing economic trends and developments in the receiving state. They also advocate for host-government policies aimed at leveling the playing field for companies from the home country and against regulations that hurt those businesses. Commercial diplomats directly help industries and individual companies in starting or expanding business and investment in the host country. Conversely, they facilitate investment by local firms in the home country.
The White House is committed to 30 GW of new offshore wind by 2030 but there are extensive barriers and delays resulting from federal, state, and local government policies, as well as a lack of mature supply chains. What are these barriers and how can we address the issues?
The complexity of supply chains means that it is difficult to tell where national security arguments begin and end. That may weaken some of the traditional arguments for free trade for the same reasons that we accept the difficulty of rational economic calculation in a socialist society. National security arguments for protectionism may not remain restricted to very small and manageable segments of the economy. Liberals and cosmopolitans will need to pay greater heed to these problems. This essay also considers why complex supply chains may create problems for a carbon tax and for the notion of corporate social responsibility.
This article explores the early history of two American peanut companies: Planters and Tom’s. Both food manufacturers developed major commercial brands through the ownership of intellectual property. In this case, the sourcing of different peanut types figured into the marketing of salted peanuts. Through a legal dispute involving Tom’s patented retail bag, I examine how food packaging changed the way that peanuts were advertised, distributed, and consumed in the United States. The argument is made for an historical analysis of food brands that considers how intellectual property domains interacted with one another and with the material properties of food itself.
The supply chain model has become the dominant mode of production in the globalised economy. While much attention has been placed on the downwards economic pressures of the model, little attention has been placed on the consequences for democratic participation. This chapter casts light on this area by examining how the supply chain model undermines democracy at work. It also raises the fundamental question of whether and how existing governance structures can be democratised, or whether and how new democratic institutions can be created that extend democratic underpinnings to globally expanding supply chains? Drawing on this we highlight that two distinct approaches to supply chain labour governance have emerged: one based on focussing on production relations and collective bargaining, and the other based on consumption relations and a CSR approach by brands. These approaches raise important questions that are central themes of the book such as what is the relationship between the representation of worker interests and consumer interests; who has the “right” to raise concerns about labour conditions in global supply chains; and can these contrasting approaches prove complementary?
Globalisation has placed democratic institutions under severe pressure as economic actors seek to take advantage of the disjuncture between national political governance and transnational economic activity. This chapter provides an introduction and overview as to the key themes to be addressed in the book. In particular, we highlight the debate between different approaches to democratic representation and associational democracy which is the theoretical framing for the remainder of the book: representation as claim versus representation as structure.