STATE, CLASS AND INTERNATIONAL CAPITAL 1: BACKGROUND TO THE BRASILIAN STEEL INDUSTRY

By 1980, the Brasilian steel industry had grown to be the eighth largest among the market economies. It is a largely state-owned industry, much of the expansion of which has been funded by international capital. The pattern of development has not been externally imposed, however, but rather reflects the changing balance of class forces within Brasil as policies oscillate between nationalist, populist limits on foreign investment and open, pro-development strategies that rely on foreign investment. Both policies develop their own contradictions, that are reflected in frequent military interventions.