Research On China's Status As The East Asian Market Provider

Since the 1960s, East Asian economies have implemented the Export-oriented economic growth model in succession, Export-oriented economic growth model had greatly promoted the economic development of East Asia. However, with the continuous improvement of production capacity of East Asia, export-oriented economic growth model more and more exposed to external market constraints. To change this situation, East Asian economies must shift from the dependence on European and American markets to Intra-Asian market, and gradually form the East Asian market provider. China is the increasingly rising power in East Asian region. With huge domestic market potential, China has initially possessed conditions of the East Asian market provider. Becoming the East Asian market provider will not only bring China with domestic scarce factors of production, and enhance innovation capability of domestic enterprises, but also help reduce the East Asian economies' dependence on European and American markets, thereby stabilizing the East Asian regional economy, in return, providing a stable regional environment for China's economic development, and promote China's sustainable economic development. Therefore, the study of China's East Asian market provider status has important practical significance.The dissertation uses historical and institutional, normative and empirical analysis, we will study china's East Asian market provider status from following aspects:(1) The development and evolution of China's imports from East Asia; (2) Comparison of the East Asian market provider status of china and American; (3) The impact on China of China's East Asian market provider status; (4) The impact on East Asia of China's East Asian market provider status; (5) Development Trend of China's East Asian market provider status; (6) Conclusion and policy recommendations for China's East Asian market provider status.American, Japan and China have great impact on East Asia. After World Warâ…¡, American had implemented free trade policy, and open the domestic market for East Asia. Measured by exports, American is the most important East Asian market provider. After World Warâ…¡, Japan's East Asian market provider status had increased rapiddly, but limited by the size of the domestic market, Japan can not become the most important East Asian market provider. Since 1990, with China's economic growth, China's East Asian market provider status had increased rapidly. Trade data shows that in 2009 China's imports accounted for the proportion of total exports of East Asia has surpassed that of American, this shows that China has already had conditions of becoming East Asian market provider. However, trade data underestimated the American's East Asian market provider status, American is still the East Asian market provider of final products, while China is the East Asian market provider of Intermediate products.The rise of China's East Asian market provider status will promote China's enconomic growth, industrial structure evolution and technological progress. In particular, imports of intermediate products provided China the necessary factors of productions and advanced technologies and will be helpful for China's economic development. Although the final products import is likely to have certain impacts on China's traditional labor-intensive industries in the short term, with China's industrial structure adjustment and economic growth, these impacts will be minimized. In a long run, the rise of China's East Asian market provider status will also be helpful to enhance the welfare of Chinese residents, ease the pressure of RMB appreciation and reduce the risk of foreign exchange loss.Since the 1990s, the international economic background of East Asian Export-oriented economic growth model has undergone a fundamental change, East Asia is facing outside market size constraints, the Export-oriented economic growth model of East Asian as a whole is no longer sustainable, but some East Asian economies still do not have the ability to change their export-oriented economy growth model. The global financial crisis in 2009 had a tremendous impact on East Asia, indicating that the over-reliance on European and American market has serious threats to the economic stability of East Asia. In this case, the formation of intra-Asia market provider is conducive to economic stability and sustainable development in East Asia. China's East Asian market provider status had a strong stimulating effect on East Asia's economic growth. However, from trade point of view, American and Japan had gained more benefits from China's economic growth, and the ASEAN4 countries shared less trade incomes, this is currently a major obstacle to improve the Asian influence of China. In addition, the rise of China's East Asian market provider status also affected some East Asian economies'industry evolution. Now, china still can not become the East Asian market provider of final products. But China has a huge domestic market and huge foreign trade volume, and there is closely industry relationship between china and East Asia, in this case China's East Asian market provider of intermediate products status will rise, in the long run, China has the ability to become the East Asian market provider of final products, China's Status as the East Asian market provider will rise.In the process of China becoming the East Asian market provider, China should uphold principles such as the principle of defencing China's own benefits, the principle of expanding domestic market and the steadily progressive principles.The path of China's East Asian market provider could be divided into four phases:First, the domestic industrial structure adjustment, enhance the competitiveness of export products; Second, expand trade linkage with East Asia economies through the East Asian regional cooperation; The third is to improve people's income, expand the domestic market; Fourth, through the expansion of imports from East Asia, strengthen China's East Asian market provider status. Major measures include:First, expand domestic demand and promote consumption; Second, adjust the industrial structure and export trade structure; Third, implement the strategy of market diversification; Fouth, RMB appreciates limitly.