Compare And Analysis On The International Competitiveness Of Electromechanical Industry Between China And Japan

Confronted with the double challenge of economic globalization in the fields of knowledge and technology, each country, no matter it's a developed one or developing one, regards the export increase of electromechanical product as one of the main productivity elements in realizing the economic growth and also a strategic emphasis in developing export and launching technological and economic cooperation.With the fast development of China's electromechanical industry and the relative landslide of that of Japan, comparison on the international competitiveness among the electromechanical industries of Japan and China has drawn more close attention. To a certain extent, it also influences the trade relationship and industrial policies of these two countries.This dissertation makes a comparative research on international competitiveness of electromechanical industries between China and Japan from several prospects with reference to research achievements in relevant fields. The analysis points out the gap existing between Japan and China in the electromechanical industry and also goes on with the aim to offer an overall analysis frame and actual situation for Sino-Japanese trade relations in the electromechanical industries. At the end of this essay some suggestions are put forward on the development of China's electromechanical industry.Through a series of index including RAC index, TC index and export similarity index, the comparison and analysis show that the electromechanical products of Japan have obvious stronger competitiveness in the international market, and China's fast growth and enlargement of total export can not conceal the fact that its competitiveness lags behind that of Japan greatly yet. The electromechanical product of Japan occupies the high-level market with their capital advantage and technological advantage. And China's market mainly results from their resource advantage and workforce advantage.Traditional theories and statistics of comparative advantage can reflect a country's comparative advantage to certain extent. But under the background of economic globalization, the basic premise which international trade based on has changed. And the pure use of comparative advantage to value a country's competitiveness does no longer conform to the international production institution. The intra-industry trade theory would make the analysis more comprehensive.The intra-industry trade between the electromechanical industries of China and Japan shows China's improved structure of import and export. And the main form of this kind of intra-industry trade is that China exports accessories and elements with intensive workforce to and import accessories and elements with intensive technology from Japan. The overall vertical intra-industry trade and labor division is in accordance with each country's comparative advantage.Although the vertical integrated investment from Japan to China remarkably expands and increases the intra-industry trade volume between Japan and China, it can't be concluded that the competitiveness of Chin's electromechanical industry has strengthened and the gap between China and Japan has lessened. The investment of Japanese enterprise provides the base for the progress and momentum for export of China's electromechanical industry. China must take measures to enhance the structure level of electromechanical industry and thus improve the labor division status between China and Japan.The entry into WTO makes China's electromechanical industry confronted with more heated international competition as well as a more open and level environment. China should envisage these challenges and opportunities, make suited policies and eventually enhance the international competitiveness of China's electromechanical industry.