Export-oriented industrialization

Export-oriented industrialization (EOI) is a trade and economic policy which aims to accelerate the process of industrialisation of a country through exporting products for which the country has a comparative advantage. The growth based on exports implies the opening of domestic markets to foreign competition in return for market access in other countries. Reduced tariff barriers, floating exchange rate (devaluation of the national currency is often used to facilitate exports), and support the government to export all fields are an example of policies adopted to promote EOI and ultimately economic development. Export-oriented industrialization was particularly characteristic of the development of national economies of the Asian Tigers: Hong Kong, South Korea, Taiwan and Singapore in the post Second World War period. The purpose of international institutions such as the World Trade Organization, work in favour of such strategies in promoting multilateral trade policy rules of each nation to put on the same playing field.

It 'been largely successful, although it may be sensitive to the market. Economic Crisis of 1998 hurt the economies of countries that have used export-oriented industrialization. It is criticized for its lack of diversity of the product, making it potentially unstable economies.

Export-oriented industrialization is often at odds with the import substitution industrialization. It 'grew as a reaction import substitution.