An Reflection Of China's Export-oriented Trade Strategy

Since the reform and opening, there is a transformation in China's foreign trade policy, and with the successful example of export-oriented strategy enforced in some eastern Asian coutries and areas, China's foreign trade strategy transformed from import substitution strategy to export-oriented strategy. With the idea of export-oriented strategy, there has been a great development in China's foreign trade. The foreign trade not only promotes the development of the economy, but also creates a lot of opportunities for obtain employment, while making a great contribution in China's industry adjustment and forward upgrade. In the meantime, with the ascent of commercial status of China, the imbalances between internal and external economy, which result from the potential contradiction and issues of China's traditional export-oriented trade strategy, have appeared gradually. Because of the extensively growth mode of our foreign trade for a long period, our composition of foreign trade is still unreasonable such as import and export commodity structure is simple, the trading type focuses on processing trade and trading partners are more concentrated in a few developed countries. Due to overly focusing on the rise of foreign trade, especially export trade, a series of negative issues has been increasingly prominent. For example, the development of regional economy and trade is imbalance, the conflict between the development of economy and environmental resources is intensified and the distortion of the domestic input market is becoming serious.The causes of negative issues not only come from the existing deficiency of the theory of export-oriented development strategy, but also result from the divergence caused during the implement process as well as the change of the domestic economic environment. With the idea of the export oriented strategy, we have developed an extensive growth mode of foeign trade, which made us faced with more and more risks. It has been a new challenge as to how to adjust the policy of export-oriented trade strategy, change the increasing mode of foreign trade, optimize the structure of export products and achieve the development of foreign trade and economic growth concertedly, healthy and sustainable. Asian financial crisis tells us the severance of the drawbacks of the export oriented strategy happened in eastern Asian coutries and areas, which alarms us the importance of the adjustment of export oriented strategy. The financial crisis triggered a global economic recession. That takes a great challenge to the export-oriented economic increasing mode that relies on exports to drive economic growth in a long time. Our export-oriented trade strategy should be adjusted imperatively.From our current economic situation, this adjustment is viable, because we own large reserve to provide financial support as well as the huge economical scale and the domestic market to provide market support. However, it must see the negative factors of strategic adjustment; for example, it is difficult to adjust the situation of lacking of effective demand in our market and huge employment pressure overly dependent on the labor-intensive industries and so on. Due to this, our adjustment of the export-oriented trade strategy in the current stage should dependent on the domestically economic situation and the global economic environment, achieving the equalization between internal and external and the balance between import and export trade as well as the balanced development between the traditionally competitive industries and high-tech industries.