ABSTRACT
The US is the world's largest steel market but is no longer the largest producer.l It also is no longer insulated from foreign competition. The US industry's strategy toward new innovations and the rapid adoption of modern technologies by Japan and other late industrializing countries cumulatively produced a realignment of global ~teelmaking capacity. This shift in the international division of labor, already underway with capacity expansion, was also accompanied by changes in institutional arrangements. As we have seen, the US industry moved away from self-regulation to increased government protection from imports. Late industrializing states relied on capitalist regulation which eschewed market mechanisms for industrial development. With mounting resttucturing pressures, the US industry in league with foreign firms established joint ventures in the US, while late industrializers like Brazil and India shifted away from state-led industrialization to greater private enterprise involvement in the industry.
