Conference Paper
Industrial Policy in MENA: Objectives, Drivers and Scope for Plurilateral Cooperation
No.
ERF32AC_19
Publisher
ERF
Date
May, 2026
Topic
L5. Regulation and Industrial Policy
H2. Taxation, Subsidies, and Revenue
F5. International Relations, National Security, and International Political Economy
F1. Trade
Unilateral trade and industrial policies adopted by large economies are adversely impacting partner countries and the rules-based international order. One potential response by affected states is to emulate such policies; another is to cooperate with each other to internalize policy spillovers or more efficiently achieve shared objectives. Middle East and North African (MENA) countries, states that have participated to only a limited extent in global manufacturing value chain production, provide a useful focal point for analyzing the prospects of such plurilateral cooperation. We investigate the relationship between trade-related industrial policy interventions by MENA countries and those adopted by major G20 economies, considering the role of bilateral trade linkages and political alignment in the sequential implementation of similar policies. Our findings reveal significant heterogeneity in motivations for policy interventions, sectoral priorities and the extent of policy emulation across countries, with implications for the likelihood of participation in plurilateral agreements.
Senior Associates
Bernard Hoekman
Professor and Director, Global Economics, Robert Schuman...
Research Fellows
Bedri Kamil Onur Tas
Associate Professor of Economics, College of Economics...