Study On The Development Of China Iron And Steel Industry Intra-industry Trade

Intra-industry trade (IIT) has become one of the key topics in international trade study area since it was firstly noticed in 1960s, of which the research on the IIT situation of some industry is one important and basic part. The purpose of that research is to find out some problems in industrial development through analyzing IIT situation and its causes and to advise some solutions. This paper studied China iron and steel IIT situation and its causes which were belong to that field, and the later one was studied through analyzing the factors. Some development problems of IIT were also argued and some suggestions were advised in this paper. The innovations of this paper were that the dynamic method and the gray correlation analysis were used instead of static method and OLS to count the IIT level and to analyze the factors.The research was carried out as follows: first, the mechanism of IIT, the function of IIT to industrial development and the methods of evaluation of IIT were analyzed through summarizing concerned theories;second, the IIT, VIIT and HIIT level were all described in detail in this paper;third, in order to research the cause of the IIT, the correlation between factors and IIT was ranked, and the key factor was found;At last, some policies were suggested.The conclusion will be summarized: (1) China iron and steel industry IIT consisting mainly of HIIT is increasing slowly, which is low at present;(2) it is found that the influence of national economic character factors is larger than that of industrial economic character factors by grey degree ranking of correlation, which indicates China iron and steel industry has not achieved economy of scales, production differentiation and specialization;(3) it is proved that concentration degree is the prior factor to China iron and steel industry IIT, and VIIT is quasi-prior system character, which indicates that the increasing of IIT may start with VIIT, and the best policy is to promote concentration degree at first, at the same time, FDI, technological renovation and firms' organization should be also regarded.