What is an NIC?

A  NIC is a Newly Industrializing Country.  This means that it has developed from an LEDC and is on it’s way to becoming an MEDC.

Remember…. LEDCs have mainly Primary industry(Farming to stay alive), and MEDCs are mainly Tertiary with some Secondary(manufacturing).  NICs are in between!

Examples of NICs are South Korea, India, China, Taiwan, Malaysia and Hong Kong.   Most NICs are located in East Asia.

What are the advantages of East Asia for Industrial Growth?

1. They have lots of cheap labour.  Wages are low compared to the rest of the world.  Asian workers are reliable and willing to work long hours.
2. Transport is important, most places are very accessible to the major world shipping lanes, and sea transport is a very cheap form of transport.
3. NIC Governments have encouraged MEDC investment in order to kick start their industries.
4. The Market is also important, as over half the world’s population lives in East Asia, so there is a ready market nearby to whom they can sell their products.

What do NIC Industries produce?

A wide range of products: Steel, ships, electrical goods, electronics and computers.