SFeDu
of.211, Gorgoko St., 88 
Rostov-on-Don
Russia
344002
+7 (863) 250-59-54
This email address is being protected from spambots. You need JavaScript enabled to view it.
te@sfedu.ru

TERRA ECONOMICUS

  • Home
  • Issues
  • 2025
  • No 2
  • International technology transfer: In search of a new model for catching-up countries

International technology transfer: In search of a new model for catching-up countries


TERRA ECONOMICUS, Vol. 23, No 2,

Citation: Ponomarev A., Gareev T. (2025). International technology transfer: In search of a new model for catching-up countries. Terra Economicus 23(2), 6–20 (in Russian). DOI: 10.18522/20736606-2025-23-2-6-20

In general, economic theories regard international technology transfer as a phenomenon that can be influenced by market incentives. The technological leader may choose to provide rights to intellectual property for a fee, which could be considered a form of “liberal” technology transfer. However, by default, the preference is to receive rents from direct investment and/or sales of high-tech products. In contrast to this model, recent decades have seen the emergence of a practice of “forced” technology transfer to the economies with a strong bargaining power. The term reflects the position of international companies (multinational corporations), emphasizing the undesirability for them to transfer technical knowledge to companies from emerging markets. Nevertheless, multinational corporations continue to adhere to this model due to the advantages of their presence in promising markets. First and foremost, this model is emblematic of China, yet other countries, including Russia, also employ it on a point-by-point basis. The liberal and “forced” technology transfer models serve to increase the supply of “first best” technology solutions. However, at the same time, they serve to further perpetuate technological dependence in countries with insufficient bargaining power or under the risk of sanctions. In search of a solution, countries are attempting to apply the “offset” technology transfer model, but it is only slowly spreading due to the unwillingness of tech leaders to share sensitive technologies. In this paper, we put forth a novel model of technology transfer for technological sustainability, which we term “voluntary”. This model is well-suited for countries with limited bargaining power that stand to benefit from enhanced technological resilience. We proceed to justify the conditions for voluntary technology transfer and elucidate the underlying principles of its practical implementation.

Keywords: technology transfer; “forced” technology transfer; voluntary technology transfer; offset deals; technological sustainability; catching-up development
JEL codes: F1, F13, F44, O3


References:
  • Акимкина Д.А. (2022). Трансфер технологий ОПК как альтернатива импорту технологий в условиях санкций. Экономика и бизнес: теория и практика (8), 7–11. [Akimkina, D. (2022). Technology transfer of the defense industry as an alternative to technology imports under sanctions. Economics and Business: Theory and Practice (8), 7–11 (in Russian)]. DOI: 10.24412/2411-0450-2022-8-7-11
  • Епифанова Н.С., Полозков М.Г. (2019). Офсетные сделки как инструмент внешнеторговой политики государства. Государственная служба 21(2), 71–76. [Epifanova, N., Polozkov, M. (2019). Offset transactions as an instrument of the state's foreign trade policy. Public Service 21(2), 71–76 (in Russian)]. DOI: 10.22394/2070-8378-2019-21-2-71-76
  • Байдаров Д.Ю., Файков Д.Ю. (2023). Модель трансфера технологии из оборонно-промышленного комплекса в гражданский сектор экономики. Управление 11(2), 56–67. [Baydarov, D., Faikov, D. (2023). The model of technology transfer from the defense industry to the civilian sector of the economy. Upravlenie / Management (Russian) 11(2), 56–67 (in Russian)]. DOI: 10.26425/2309-3633-2023-11-2-56-67
  • Гареев Т.Р. (2023). Технологический суверенитет: от концептуальных противоречий к практической реализации. Terra Economicus 21(4), 38–54. [Gareev, T. (2023). Technological sovereignty: From conceptual contradiction to practical implementation. Terra Economicus 21(4), 38–54 (in Russian)]. DOI: 10.18522/2073-6606-2023-21-4-38-54
  • Лихачев В.А. (2017). Международный трансфер технологий: основные тенденции и позиции России. Российский внешнеэкономический вестник 10, 29–43. [Likhachev, V. (2017). International technology transfer: main trends and Russia's position. Russian Foreign Economic Journal 10, 29–43 (in Russian)].
  • Костин К.Б., Шимко П., Ци С. (2022). Международный трансфер технологий в Российской Федерации и его перспективы в современных условиях санкционных ограничений. Вопросы инновационной экономики 12(4), 2169–2192. [Kostin, K., Shimko, P., Tsi, S. (2022). International technology transfer in the Russian Federation and its prospects amidst sanctions. Russian Journal of Innovation Economics 12(4), 2169–2192 (in Russian)]. DOI: 10.18334/vinec.12.4.116523
  • Саяпина К.В., Дегтерева Е.А., Зобов А.М. (2016). Перспективные формы и механизмы реализации военно-промышленного и научно-производственного сотрудничества России и стран БРИКС. Вестник РУДН: Экономика 3, 19–28. [Sayapina, K., Degtereva, E., Zobov, A. (2016). Perspective forms and mechanisms of realization of military-defense and scientific-industrial cooperation between Russia and BRICS member-states. RUDN Journal of Economics 3, 19–28 (in Russian)].
  • Штейнберг Е.Е. (2019). Потенциальное использование офсетных соглашений для увеличения экспорта стальных труб. Российский внешнеэкономический вестник 9, 125–134. [Shteinberg, E. (2019). Offset deals as a tool to improve export potential of steel pipes. Russian Foreign Economic Journal 9, 125–134 (in Russian)].
  • Andrenelli, A., Gourdon, J., Moise, E. (2019). International Technology Transfer Policies. OECD Trade Policy Papers, № 222. Paris: OECD Publishing. DOI: 10.1787/7103eabf-en
  • Amesse, F., Cohendet, P. (2021). Technology transfer revisited from the perspective of the knowledge-based economy. Research Policy 30(9), 1459–1478. DOI: 10.1016/S0048-7333(01)00162-7
  • Balakrishnan, K. (2018). Technology Offsets in International Defence Procurement. Routledge. DOI: 10.4324/9781351258005
  • Bar-Zakay, S. (1971). Technology transfer model. Technological Forecasting and Social Change 2(3-4), 321–337. DOI: 10.1016/0040-1625(71)90009-6
  • Bozeman, B. (2000). Technology transfer and public policy: A review of research and theory. Research Policy 29(4–5), 627–655. DOI: 10.1016/S0048-7333(99)00093-1
  • Chen, W., Fornino, M., Rawlings, H. (2024). Navigating the evolving landscape between China and Africa's economic engagements. IMF Working Papers, vol. 2024, № 037. DOI: 10.5089/9798400267840.001
  • Dosi, G., Tranchero, M. (2021). The role of comparative advantage, endowments, and technology in structural transformation. In: New Perspectives on Structural Change: Causes and Consequences of Structural Change in the Global Economy. Oxford University Press, pp. 442–474. DOI: 10.1093/oso/9780198850113.003.0019
  • Guan-fu, G. (1983). Soviet aid to the third world, an analysis of its strategy. Soviet Studies 35(1), 71–89. DOI: 10.1080/09668138308411459
  • Haug, D. (1992). The international transfer of technology: Lessons that East Europe can learn from the failed Third world experience. Harvard Journal of Law and Technology 5, 209–240.
  • Hipp, A., Jindra, B., Medase, K. (2024). Overcoming barriers to technology transfer: Empirical evidence from the German Democratic Republic. Journal of Technology Transfer 49, 1787–1821. DOI: 10.1007/s10961-023-10055-5
  • Holmes, T., Mcgrattan, E., Prescott, E. (2015). Quid pro quo: Technology capital transfers for market access in China. The Review of Economic Studies 82(3), 1154–1193. DOI: 10.1093/restud/rdv008
  • Lee, J. (2020). Forced technology transfer in the case of China. Boston University Journal of Science and Technology Law 26(2).
  • Liesch, P. (1993). A rational for government-mandated countertrade: Technology transfer. International Journal of Technology Management 8(6–8), 486–499. DOI: 10.1504/IJTM.1993.025790
  • Malm, A., Fredriksson, A., Johansen, K. (2016). Bridging capability gaps in technology transfers within related offsets. Journal of Manufacturing Technology Management 27(5), 640–661. DOI: 10.1108/JMTM-11-2015-0101
  • Manu, A., McAdam, P., Willman, A. (2022). China's great expansion: The role of factor substitution and technical progress. European Economic Review 141. 103911. DOI: 10.1016/j.euroecorev.2021.103911
  • Marjit, S. (1988). A simple model of technology transfer. Economics Letters 26(1), 63–67. DOI: 10.1016/0165-1765(88)90053-5
  • Noh, H., Lee, S. (2019). Where technology transfer research originated and where it is going: A quantitative analysis of literature published between 1980 and 2015. The Journal of Technology Transfer 44, 700–740. DOI: 10.1007/s10961-017-9634-4
  • Prudhomme, D., von Zedtwitz, M. (2019). Managing "forced" technology transfer in emerging markets: The case of China. Journal of International Management 35(3). 100670. DOI: 10.1016/j.intman.2019.04.003
  • Qin, J. (2019). Forced technology transfer and the US – China trade war: Implications for international economic law. Journal of International Economic Law 22(4), 743–762. DOI: 10.1093/jiel/jgz037
  • Raz, B., Assa, I. (1988). A model of "coupled" technology transfer: A logistic curve approach. Technological Forecasting and Social Change 33(3), 251–265. DOI: 10.1016/0040-1625(88)90016-9
  • Raslan, R. (2024). Climbing up the ladder: Technology transfer-related policies in the context of the Belt and Road Initiative. Utrecht Law Review 20(1), 19–43. DOI: 10.36633/ulr.922
  • Robinson, R. (1988). The International Transfer of Technology: Theory, Issues and Practice. Ballinger, Cambridge, MA.
  • Shy, O. (1996). Industrial Organization: Theory and Applications. MIT Press.
  • Sykes, A. (2021). The law and economics of "forced" technology transfer and its implications for trade and investment policy (and the U.S. – China trade war). Journal of Legal Analysis 13(1), 127–171. DOI: 10.1093/jla/laaa007
  • Wang, J.-Y. (1990). Growth, technology transfer, and the long-run theory of international capital movements. Journal of International Economics 29(3–4), 255–271. DOI: 10.1016/0022-1996(90)90033-I

Publisher: Southern Federal University
ISSN: 2073-6606