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Export Upgrading and FDI: New Evidence from Brazil

Bruscatto Bortoluzzo, Adriana and Campos, Camila F S and Cavalcanti, Juliana (2021): Export Upgrading and FDI: New Evidence from Brazil.

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This study presents additional evidence of the role of FDI flows in export upgrading. Using industry-level data on Brazilian FDI inflows, we show that FDI inflows promote export upgrading. Most importantly, we show that export sophistication occurs through the upgrading of goods exported to the same foreign market. We show that upgrading occurs in all sectors and that sophistication is slightly stronger for low-tech products. Keywords: Export Up- grading, FDI flows, sectoral evidence.

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