| Abstract: | This paper examines the Suzhou Industrial Park project, a collaborative venture between the China and Singapore governments between 1992 and 2002. The collaboration represented a convergence of the two governments' development strategies. The aim was to jointly benefit from foreign direct investment (FDI) by attracting industrial transnational corporations to locate operations within the Park. To achieve this, the China government invested strong political support for the project, while the Singapore government invested capital and administrative expertise. This paper finds that between 1992 and 1997, the collaboration was relatively successful, as the Suzhou Industrial Park experienced some of the highest levels of foreign direct investment in China. However, between 1997 and 1999, the project faced several problems including the effects of the Asian Financial Crisis outside China and competition from other industrial estates within China. This ultimately led the Singapore government to announce its disengagement from the project in June 1999. This paper concludes with some observations about inter-governmental collaboration as a new form of development strategy. |
