Import Substitution, 25th Dec., 2010.

Henry J. Bruton has an article in the Journal of Economic Literature, titled "A Reconsideration of Import Substitution."

Through most of the 1950s, Taiwan used trade and exchange rate policies to limit external competition. There were tariffs, a fairly high set of ERPs, and multiple exchange rates, most of which represented an overvaluation. All foreign exchange had to be turned over to the Central Bank, and demand for foreign exchange greatly exceeded supply at the prevailing exchange rates. Public sector imports were given a preference relative to private sector requests. The import substitution syndrome appeared in full regalia. [43] Then in the late 1950s Taiwan began to dismantle this array of controls, to establish a single exchange rate at a realistic level, and to encourage exporting in a number of other ways.