Innovation and trade patterns in the Latin American mining sector

Produced by: 
Available from: 
August 2021
Paper author(s): 
Enrico Alessandri
Topic: 
Agricultural - Natural Resource Economics
Year: 
2021

This paper examines the trade and innovation specialization patterns in the Latin American mining sector, in terms of exports of mining products, of its exports of mining equipment, and of its production of mining technologies (i.e. innovation). Results suggest that Latin American countries are specialised in the extraction and export of mining products (i.e. minerals), and de-specialised in the production of mining equipment and of mining technology, while they heavily rely on imports of equipment and technology. We also find that the mining innovation taking place in Latin America is of relatively low quality. Considering that innovation in the mining sector is supplier-dominated, the weak technological specialisation of Latin American countries in the mining sector reflects mainly the low innovation capacity of local suppliers to mining companies, in comparison to the global average.

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