Chinese Direct Investment In Asean Bilateral Trade Impact Analysis

With the development of economic globalization, international division of labor and transnational cooperation, the foreign direct investment (FDI) and the trade between countries are gathering new momentum, and the relationship between them has also undergone changes: from mutual substitution, mutual promotion to mutual integration. Therefore, scholars at home have begun to explore the relationship between the FDI and the international trade. The ten countries of ASEAN are geographically close to China, and they have a long history of economic and trade relations with each other. Thus both direct investment and bilateral trade between the China and ASEAN more and more concern domestic and foreign scholars.In this paper, China's direct investment and bilateral trade with ASEAN is the research object.Firstly, sorts out theoretically the relationship from alternative to promote each other to mergence between the FDI and international trade; briefly comments on the studies of the two done by the scholars at home and abroad. Secondly, this paper makes detail analysis of the development process, current status features, and the existential problems with the China-ASEAN bilateral trade and direct investment, does an analysis in the mutual relationship between the two according to the indexes of the trade complementation and integration.Thirdly, it analyzes the import and export effects of the direct investments, based on the amount of China's direct investments and stocks in ASEAN, as well as the import and export data of the trade between China and ASEAN establish panel data model.Finally, this paper also makes six specific suggestions from legislation,policies,industry,country,investors and investment to promote China's FDI in ASEAN and bilateral trade.