Domestic Industrial Sector Research Articles

PARALLEL IMPORT: THEORY, PRACTICE AND SPECIFICS IN THE CONTEXT OF SANCTIONS RESTRICTIONS

Parallel import refers to one of the controversial and ambiguous issues actively discussed in scientific literature over the past decades. On the one hand, parallel import is associated with the violation of intellectual property rights of trademark owners, and on the other hand, it is an indirect tool to combat price discrimination on the world market. Parallel import as a forced measure under sanctions is of particular research interest. The legalization on parallel imports in Russia, which allows to freely import certain goods into the country without the copyright holders’ permission, is aimed at countering large-scale anti-Russian sanctions, maintaining stable trade turnover and protecting the domestic industrial sector. The purpose of the work is to study the reasons for parallel import existence, its positive and negative aspects, as well as the specifics of importing goods into the country under sanctions. The methodology of the study is based on the analysis of international and Russian legislative framework, generalization of scientific and practical approaches to parallel import issues, as well as statistical data. The results of the study allows us to conclude that using the term «parallel import» to characterize the processes of importing goods under sanctions is not entirely legitimate due to the absence of the main, authorized import channel in most cases. The work provides a risk map related to the use of a parallel import scheme in the activities of Russia’s enterprises. The findings can be applied by commercial and industrial enterprises in devising a risk minimization strategy in conditions of sanctions restrictions.

THE EUROPEAN UNION’S LAWSUIT OVER THE 2020 PROHIBITION OF INDONESIAN RAW NICKEL ORE EXPORTS

This research discusses the reasons behind the European Union's lawsuit against Indonesia regarding the policy to ban the export of raw nickel ore in 2020. The background of Indonesia's ban on the export of nickel ore is part of the national plan to develop the domestic industrial sector, including stainless steel production. Based on this policy, the European Union implemented a foreign policy to sue Indonesia at the WTO, considering it a violation of the provisions of the WTO trade agreement under Article XI:1 of the GATT 1994. The method used in this research is a qualitative descriptive research method employing Robert Ghilpin's theory, which describes foreign policy influenced by domestic industry interests and external influences.The European Union's background as a stainless steel producer makes nickel the most significant value addition for the EU in terms of employment, taxes, investments, and product utility. Nickel's utility for the EU, simultaneously serving as a benefit, lies in high-performance technological products that leverage its characteristics of high heat resistance and durability. The comparison of the income results of the EU industry, which significantly impacts the economy, has experienced a decline since the implementation of Indonesia's export ban policy. Consequently, the European Union filed the lawsuit due to economic interests in the EU's domestic industry, such as labor absorption and financial contributions to the state.

Hierarchical consumption preferences, redistribution, and structural transformation

Abstract In low- and middle-income economies, consumption preferences are hierarchical and the production structure is dualistic. Wage demand correspondingly articulates with the domestic industrial sector in a limited fashion. Where capital accumulation is directed at this modern/industrial sector, downward redistributions are less expansionary than commonly outlined, even if capacity utilization is an adjusting variable influencing investment decisions. Insofar as economic development is underpinned by structural transformation, policies aligned with downward redistributions have important sectoral ramifications neglected in one-sector frameworks. This paper explores these and related propositions formally, drawing from the analysis of a two-sector growth and distribution model.

Цифрова трансформація промисловості: сучасні реалії та пріоритети розвитку

The article examines the digital transformation of industry key priorities and the impact of its processes on ensuring progress towards achieving sustainable development goals. It is proved that changes in the technological modality lead to changes in socio-economic systems, in particular in institutional, social and economic components, as well as in socio-economic relations between the actors involved in the processes of the digital environment. There is a strong accent for the need and importance of promoting digital transformation, which has proven to be a force that opens up new opportunities for the development of industrial enterprises. The focus is on the essence of changes in business processes, features and industry specifics of digital transformation. The author's definition of the category “digital transformation” is given. The greatest demands of the industrial sector are characterized by advanced digital technologies. The European experience of providing digital services is studied. It is reasoned that digital transformation makes it possible to reduce the digital divide in terms of the level of digital technology adoption. Specific barriers and the main factors inhibiting the digital transformation of the domestic industrial sector are identified. Recommendations are developed in the context of priorities for the development of industry digital transformation. The results obtained deepen the theoretical and methodological foundations for managing the processes of Industry 4.0 formation and development in Ukraine in terms of identifying priority areas for the introduction of digital technologies at domestic industrial enterprises.

ECO-INDUSTRIAL PARKS AS A DIRECTION OF INNOVATIVE DEVELOPMENT OF PRODUCTION TERRITORIES

The article discusses the problems and tasks of the environmental direction in the development of modern industrial production in the context of post-war recovery and development of the Ukrainian economy. The success of such a task will depend on the extent to which industrial policy and development strategies at the state and local levels are oriented towards modern global trends - innovative digital and production technologies and environmental standards. At the present stage, the concept of building and developing a network of eco-industrial parks is such a solution.
 Based on the analysis of the world experience in the formation and functioning of eco-industrial parks, the article presents a wide range and various combinations of environmental protection measures and approaches to managing environmental and resource problems in the structure of eco-industrial parks. The main directions of eco-innovations are highlighted: from "clean production" and "green energy" to urban-industrial symbiosis.
 The authors substantiates the relevance of ecological transformation of the domestic industrial sector at the present stage. It is important that innovative sustainable industrial development takes place as a reciprocal process, by balancing the issues of economy, ecology, society and urban planning, where all stakeholders - public and private structures - jointly develop measures for planning, designing and building a network of eco-industrial parks in the country.

The industrialization of medicinal plants in Indonesia

This article reviews the use of medicinal plants in Indonesia, the development of the medicinal plant industry, and its role in the process of industrializing medicinal plants. The review was carried out using the Preferred Reporting Items for Systematic Review and Meta-Analysis Protocols (PRISMA-P) method by including the criteria for original articles and reports. Searches were done on Google Scholar, Proquest, Pubmed, Science Direct, and Springer websites. The key words employed for the search included economic development, industrialization, leading sectors, medicinal plants, and modernization. The inclusion and exclusion criteria was based on duplication, redundancy, method and quality of the article. In the search results of the selected article database, 71 out of 300 articles and reports were included in the criteria. According to the findings of this systematic review, the industrialization of medicinal plants represents an opportunity to alter regional and national economic structures. Industrialization of medicinal plants is a process of modernizing medicinal plant commodities which aims to increase the added value of all economic sectors with the manufacturing sector which are interrelated. The industrialization of medicinal plants is marked by the development and improvement of superior medicinal plant commodities as the leading sector of the regional and national economy. Industrialization of superior medicinal plant commodities can change the economic structure by increasing the contribution of the industrial sector to consumer demand, increasing Gross Domestic Product (GDP), increasing export value and availability of employment opportunities as well as increasing long-term economic development and increasing income per capita, to ensure equal distribution of welfare for farmers and the community. Industrialization of medicinal plants can increase the added value of medicinal plant commodities, increase consumer demand, increase the value of GDP, increase the value of exports and employment, increase the potential for domestic and foreign demand, encourage the development of the domestic and foreign industrial sectors, expand employment opportunities, reduce dependence on imports, and increase the country’s foreign exchange. Economic development oriented toward the medicinal plant industry is the right industrialization strategy for Indonesia. Key words: Economic Development, Industrialization, Leading Sectors, Medicinal Plants, Modernization

An Analysis of Corporate Taxpayers’ Perception of Covid-19 Tax Incentives

Covid-19 has decreased the level of consumption or people's purchasing power and various domestic industrial sectors have been affected. The difficulties that occurred in these various sectors then encouraged the government to carry out economic recovery by implementing various policies, both fiscal, monetary and financial policies. One of the fiscal policies pursued is through statutory regulatory instruments through the Minister of Finance Regulation. The research was conducted at the East and North Kalimantan Regional Offices of the Directorate General of Taxes, specifically in KPP Pratama Samarinda Ilir, KPP Pratama Samarinda Ulu, and KPP Pratama Tenggarong. Researchers took three general answers from the answers of all respondents. The respondents' answers illustrate that the socialization related to tax incentives is not well known by taxpayers. Many taxpayers tend to think that this socialization is not important, so they do not follow it. There are those who also think that it does not really help them in administration. Information related to tax incentives is not fully known by taxpayers and the lack of tax information obtained. The quality of service received by taxpayers is classified as satisfactory and good and simple. Taxpayer behavior is still not supportive as can be seen from the low level of awareness. Taxation socialization has been carried out by the DGT, but the level of participation of taxpayers in this socialization is still low. Tax incentives for the Covid-19 pandemic have been underutilized, due to the opinion of taxpayers that the amount of incentives received is too small.

SYSTEMATIC AND STRUCTURAL DEVELOPMENT OF THE INDUSTRY OF UKRAINE: STATE AND PRIORITIES FOR IMPROVEMENT

The study draws attention to the problems of functioning and development of industry as a type of economic activity in Ukraine. The purpose of the study is to carry out a system-structural analysis and justify on this basis priorities for improving the parameters of the development of the industry of Ukraine. The strategic priorities of the state policy of realizing the potential of industry in the economy of Ukraine have been determined. It was concluded that the intensification of processes of restoration of potential and ensuring the systemic and structural development of Ukrainian industry requires the convergence of institutional support (with EU countries) for the development and implementation of structural reforms of the national economy. The main directions and means of convergence of institutional support and structural reform of the industry of Ukraine are indicated. It was concluded that the lack of formation of effective approaches to the organization of the state policy of managing the development of the industry of Ukraine requires the development of an adequate toolkit for stimulating the relevant processes as a strategic driver of the implementation of structural reforms and the formation of processes of expanded reproduction of the domestic industrial sector. The applied value of the research results lies in the determination of strategic priorities and means of state policy for stimulating the development of Ukrainian industry at the current crisis stage of its development. The scientific novelty of the research results lies in the further development of the methodology for substantiating priorities and means of sectoral development and ensuring effective institutional reforms and structural changes in the system of the national economy.

Nexus between Macroeconomic Factors and Corporate Investment: Empirical Evidence from GCC Markets

The current study aims to explore the role of various macroeconomic factors in determining corporate investment. Using firm-level data of six Gulf Cooperation Council (GCC) region countries for a 14 year period (2007–2020), the current study establishes the empirical analysis by employing the system generalized method of moments (GMM) technique. The empirical results reveal the negative impact of foreign direct investment whilst the positive impact of economic growth, financial development, and inflation rate on corporate investment decisions. Due to high market competition, foreign direct investment can hamper the growth of domestic industrial sectors. However, economic growth, financial development, and inflation rate positively drive the investment by enhancing the demand for industrial products, cheap financing, and price appreciation effect on production enrichment respectively. Based on results, it is suggested that corporate managers should consider the economic sensitivity of investment. The novelty of study can be listed, as the current analysis presents the dynamic role of various economic factors in determining the corporate investment decisions specifically in GCC region countries.

Trade shocks, industrial growth, and electrification in early 20th-century China

How does demand from the industrial sector promote the diffusion of electricity? Using newly digitized data on Chinese power plants from 1912 to 1935, we examine the impact of a trade shock, which protected the domestic manufacturing sector from import competition, on the adoption of electricity. To establish a causal relationship, we exploit time variations in imported manufactured goods caused by China's unexpected recovery of tariff autonomy in 1929 and cross-sectional variations in local access to treaty ports. We find that the reduction in manufactured imports resulted from the tariff shock led to the expansion of the local electricity sector. Further analysis suggests that the booming domestic industrial sector rather than population agglomeration was the key channel for the effect.

PRIORITY DIRECTIONS OF ECONOMIC COOPERATION BETWEEN UKRAINE AND THE USA IN THE HIGH-TECH SPHERE

Ukraine’s international economic cooperation with other countries is becoming a determining factor in providing national security, in particular, in the political, military and economic spheres. This is manifested in such areas as the equipping of the Armed Forces and other components, the implementation of national weapons production projects and the export of Ukrainian weapons.
 The Russian Federation's aggression against Ukraine in 2014 led not only to the cessation of Ukrainian-Russian high-technical cooperation, but also transformed Russia from a competitor in the market of weapons of mass destruction into an overt enemy of the Ukrainian state, which compelled Ukraine to start looking for a new model of behavior in the market.
 Given that both Ukraine and the Russian Federation operate largely in the same segment the weapons market, Ukraine would be able to move from this segment dominated by our main competitor only with the support of our strategic partners and international sanctions policy against the RF because of its aggression against Ukraine.
 The possibility of using high-technical cooperation between Ukraine and the USA as an instrument of displacement of the Russian Federation from the world market of weapons-equipped vehicles is substantiated. It is proved that US interest in the implementation of sanctions imposed by the Russian Federation and the prevention of Russian weapons in the zone of conflict through third countries can be a powerful impetus for the development of Ukrainian-American cooperation in the high-tech sphere.
 Cooperation in traditional industries such as transport aircraft building, marine shipbuilding and turbine construction, rocket engineering, which are predominantly state-owned and not traded on stock markets, requires additional attention from the state to attract US investment and assistance. Variants of development of these basic branches industries have been addressed in numerous research papers.
 At the same time, other areas of cooperation deserve a greater attention. Priority, in our opinion, should be given to strategic materials for manufacturing and energy sector; electronics and communications industry.
 The article discusses ways to enhance military technology cooperation in a manner that would better reflect both parties’ strategic interests and argues that a deeper understanding of these interests will help attract investment into the domestic industrial sector.

Conditions and Opportunities for Overcoming the Economic Crisis

Purpose: the purpose of the presented article is to study the conditions and possibilities of overcoming the protracted economic crisis in Russia.Methods: the study is based on the use of a modified information logic model, which establishes the relationships between the identified bottlenecks, the causes of their occurrence and possible ways to eliminate these causes.Results: the possibilities of overcoming the crisis are, first of all, to use the potential accumulated in the Russian economy, dispersed by sectors of the complete technological reproduction cycle, including the extraction of resources, their processing into useful materials and semi-finished products, the production of machinery and equipment, as well as the production of final products, the provision of services, infrastructure and waste disposal. Simultaneously with the search for opportunities for economic growth, it is necessary to draw the attention of the Russian Government and the legislative and executive heads to the necessity to correct the strategic mistakes. They were conducted in the process of choosing a resource-export development strategy, separating the financial sector from the support and interests of the development of domestic industrial production sector, ignoring the potential and opportunities for the development of the domestic scientific and technological complex, using imperfect economic management mechanisms, etc. The work justifies the need to overcome a long economic crisis via the management of new opportunities breakthrough, which involves the harmonious development of all economic sectors based on supporting a domestic scientific and technical complex capable to ensure the high technologies development and the competitive products production.Conclusions and Relevance: substantiating and choosing ways to overcome the economic crisis should be focused on achieving harmonious development of all sectors of the economy and using in management practices at the national, corporate and company levels, such methods and instruments of targeted projects and programs management, which are the core basis for economy and society development strategies.

Efficiency of microbial fuel cells in the treatment and energy recovery from food wastes: Trends and applications - A review

The rising global population and their food habits result in food wastage and cause an obstacle in its treatment and disposal. Due to the rapid shift in the lifestyle of the human population and urbanization, almost one-third of the food produced is wasted from various sectors like domestic sources, agricultural sectors, and industrial sectors. These food resources squandered are rich in organic biomolecules which can cause complications upon direct disposal in the environment. Conventional disposal methods like composting, landfills and incineration demand high costs besides causing severe environmental and health issues. To overcome these demerits of the conventional methods and to avoid the loss of rich organic food resources, there is an immediate need for a sustainable and eco-friendly solution for the valorization of the food wastes. Microbial fuel cells (MFCs) are gaining attention, due to their ideal approach in the production of electricity and parallel treatment of organic food wastes. The MFCs are significant as an innovative approach using microorganisms and oxidizing the organic food wastes into bio-electricity. In this review, the recent advancements and practices of the MFCs in the field of food waste treatment and management along with electricity production are discussed. The major outcome of this work highlights the setting up of MFC for the treatment of higher volumes of food waste residues and enhancing the bioelectricity production in an optimal condition. For further improvements in the food waste treatments using MFCs, greater understanding and more research needs are to be focused on the commercialization, different operational modes, operational types, and low-cost fabrication coupled with careful examination of scale-up factors.

СХЕМА ОЦІНКИ НЕОБХІДНОСТІ ВПРОВАДЖЕННЯ МАРКЕТИНГОВОГО ТЕСТУВАННЯ РИНКОВИХ ПЕРСПЕКТИВ ТОВАРНИХ ІННОВАЦІЙ У ПРАКТИЧНУ ДІЯЛЬНІСТЬ ПІДПРИЄМСТВ СТАРОПРОМИСЛОВИХ РЕГІОНІВ УКРАЇНИ

The innovative activity of industrial enterprises to create commodity innovations must end with their successful commercialization. Success in this case involves compensation for all costs incurred for their creation and introduction to the market, and also improving the image and reputation of the company in the eyes of consumers and other economic counterparties. But, quite often, in practice, the situation is different: commodity innovations in the market fail, the company incurs losses, and his image and reputation suffer. This is due to the manifestation of various reasons, and one of the main in this list – absence of marketing tests of market prospects of product innovations. Unfortunately, the domestic industrial sector seldom assesses market prospects of the developed commodity innovations by means of marketing testing; because of we have negative consequences at the stage of commercialization. That’s why this research is devoted to the need to introduce marketing testing of market prospects of product innovations. The article presents indicators that determine the need for marketing testing of market prospects for product innovations in the practice of innovative industrial enterprises. These indicators include: efficiency of innovative activity of the enterprise; projected success of product innovations in the market; analysis of the implementation of the plan for the sale of product innovations over the past few periods; the level of consideration of the needs and demands of consumers when designing product innovations; the level of novelty and competitiveness of product innovations; the magnitude of innovation risk; the presence of technical miscalculations in the design of product innovations; level of consumer loyalty, etc. These indicators are formed on the basis of generalization of a number of scientific sources on this issue, and on the results of research on the successful implementation of domestic innovation projects for the development of product innovations. The study developed a scheme for assessing the need to decide on the transition to a marketing model for the development of product innovations, which includes the procedure of marketing testing of their market prospects at the stages of the innovation cycle. In general, the introduction of marketing testing at the stages of the innovation cycle provides a fundamental opportunity for an industrial enterprise to make an informed decision about the readiness of its product innovations for commercialization by using their market prospects. The analysis is a future development for the implementation of organizational and economic testing mechanism in the practical activities of domestic innovative enterprises.

Natural Gas Potential of Pakistan an Important Parameter in Mitigating Greenhouse Gas Emissions

Climate change is one of the most challenging issues in Pakistan and has affected humans in every sphere of life. Pakistan is ranked on 8th in the world among the countries emitting Greenhouse gases (GHG). Such an extensive emission of GHG is due to the growing number of industrial units and urban centres consuming fossil fuels that emit GHG at a large scale. Mitigating the GHG emission indeed is a challenge for Pakistan. This manuscript highlights the GHG emission status and provides recommendations with suitable alternatives to mitigate the emission. Simultaneously, the study explores the impact of switching over the fuels from conventional fossil fuels to unconventional natural gas as a source of energy for domestic use, transportations and industrial sectors to mitigate the GHG emission. Natural gas is considered as green fuel due to the low carbon emission ratio as other fuels e.g. coal and oil. If Pakistan becomes successful in exploring and exploiting the indigenous untapped natural gas resources, that will eventually support in reducing the GHG emissions. This is only possible by making new natural gas reservoir discoveries. Discovering new gas reservoirs from unconventional resources is also very challenging and requires investment and modification in existing energy policies. In addition, the government should encourage the Exploration Production (EP) companies to exploit the hidden natural gas potential that will assist in both alleviating the energy deficit and reducing the GHG emission. The findings of the present study analysis have substantial implications regarding GHG mitigation, energy transition, and economic development.

Human Right Impact Assessment (HRIA): The Importance Of Community Involvement In International Agreement

In the growing international agreements as a consequence of Indonesia’s wider participation in the global community, the existence of free market harms the domestic industrial sector, especially to the community. The number of treaties which have been ratified by the government considered as incomparable to the losses incurred, particularly to the possibility of human rights violations of information dysfunction, and the lack of public participation as well as evaluation functions. This study uses a descriptive qualitative approach where data is obtained from primary and secondary data. The purpose of this study is to find out the conceptual and practical considerations faced in the possibility of violations of human rights. Moreover, the article also addresses the form of diplomacy carried out by the public regarding several government policies in the Free Trade Agreement and its relations to human rights. The study suggests that the government must guarantee human rights by involving affected communities as a form of collective understanding. Furthermore, the government must also monitor, evaluate, assess, as well as strengthen the communication from various stakeholders to eliminate the hidden costs that can harm the community.

Integration of dem derived depression and scs based runoff datasets for delineation of potential rainwater harvesting sites in Sita and Swarna basins, Karnataka

A large amount of rainwater is lost due to surface runoff that reaches the sea through streams and rivers. Rainwater Harvesting (RWH) is an encouraging approach to store available surface water and improve groundwater to overcome the water dearth problems. The present study utilizes a technically robust Geographic Information System (GIS) based methodology for evaluating and identifying the suitable RWH sites depending on the depth and volume of depressions derived from ASTER-DEM. The procedure primarily developed for the humid and tropical climatic regions has been adopted for the Sita and Swarna River basins of Southern Coastal Karnataka in the present study. The selection of a suitable site for RWH is based on different key determinants such as land use/land cover, hydrology, soil, and topography as well as the surface runoff derived using the ArcCN-Runoff tool. Initially, ninety four depression parcels have been extracted in Sita River and Swarna River basins from the DEM data using algebraic operations. Subsequently, key determinants have been analyzed in GIS domain as per the criteria mentioned in the Integrated Mission for Sustainable Development (IMSD) guidelines. As per the GIS analysis, total thirty depression parcels have been considered in the study, out of which eight parcels are classified as highly suitable; twelve as moderately suitable, and the remaining ten as not suitable RWH sites. If the rainwater is reaped and conserved properly using the suggested RWH sites as per the IMSD guidelines, the study area can serve 341.4 million cubic meters of additional water for domestic, irrigation and small scale industrial sectors. The delineated RWH sites are subjected to ground verification at 30% sample sites using Arc Pad Mobile GIS unit. The resulted accuracy is found to be 89%. The study emphasizes the benefits of GIS techniques over the traditional survey methods for sustainable water conservation. However, it is recommended to employ cadastral level data which enables easy acquisition of land required for constructing the RWH structures at farm and private lands.

Back to Agriculture?

Malthus’s main economic argument against free corn trade in his Essay on Population concerned the issue of structural change triggered by international trade. Malthus claimed that, in the long run, agricultural countries will develop their domestic industrial sectors and cut both their corn exports and their imports of foreign industrial goods. We critically assess Malthus’s views and compare them with Torrens 1815 and Ricardo 1822. We argue that the weak point of Malthus’s reasoning lies in his inability to perceive that an international trade-induced structural change process is at work both in agricultural and manufacturing countries. Moreover, we show that, notwithstanding the broad similarity of their conclusions, Torrens and Ricardo followed two analytically different paths.

THE CONCEPTUAL ORIENTATION OF THE SYSTEM OF REGULATION OF INDUSTRIAL DEVELOPMENT

The industrial sector is the most important segment of the macroeconomic environment of the country, the performance of which depends on its functioning and development in the global economic environment. The development of industry in the national macroeconomic environment is possible at the expense of an effective regulatory system, which should have modern instrumental support that corresponds to modern trends in the development of global economic systems. The article is based on the theoretical and methodological foundations of the formation of a system for regulating the development of industry and defining its conceptual benchmarks in the conditions of transformation changes in the economy. Methodology. Legislative and normative documents, materials of periodicals, statistical data, and Internet resources were the information base of the study. The paper uses general scientific and special methods: monographic examination, generalization, systematization, economicstatistical analysis, and modelling. This allowed investigating the current state and possibilities of regulating the development of industry in different models of the regulatory system and the forms of its implementation, substantiating the conceptual foundations and directions of the transformation of the system of regulation of the development of the domestic industrial sector and criteria for evaluating its effectiveness. Results. It is proved that the process of regulating the development of industry in the national economy should be considered from the point of view of a systemic approach in the macroeconomic environment, where the basic elements of a defined system are the purpose, strategic guidelines and objectives, principles and limitations, regulatory functions, institutional actors that influence on industry and its structural units with the help of well-grounded tools. The expediency of assessing the system of regulation of industrial development based on the criteria of rationality, regulation, management, and efficiency is proved, and models of the corresponding analytical indicators are proposed. It is proved that the formation of the most perspective and effective mechanism of regulating the development of the industry is to find the optimal combination of vectors of rationality and efficiency in the implementation of all large-scale transformations in the system of regulation in the national macroeconomic environment. The alternative development options in the domestic industrial sector and the relevant conceptual guidelines for the regulation of the development of industry in the national macroeconomic environment are determined. Practical meaning. The introduction of these results in order to change the system of regulation of industrial development will contribute to ensuring the role of the industrial sector as the main driver of innovation and investment development of the country’s economy. Value/оriginality. The author’s definition of the process of regulating the development of industry from the standpoint of the system approach, proposed methodological approaches to the assessment of the effectiveness of the development regulation system according to criteria and indicators of rationality and manageability, is aimed at the further formation of system measures to create favourable conditions for the development of industry in the national macroeconomic environment.

Import substitution in the industrial sector: analysis and facts

Sanctions policy against Russia is one of the most pressing political and economic issues since 2014. This format of international relations, of course, created a number of problems, but also allowed to make a breakthrough in the domestic industrial sector. Import substitution has become the main vector of movement of almost all sectors of the Russian economy. Currently, there are more than 1,100 import substitution projects in Russia in critical industries, 342 of which have reached the stage of serial production, and more than 760 are still “at the final stage” of implementation.