Effects Analysis On The Introduction Of FDI By China’s Automobile Industry

The FDI to China’s auto industry has become increasingly significant as the multinational companies carried out large-scale and systematic investment in China. The proportion of foreign investment in China’s auto industry has become larger gradually. Foreign companies invest capital, technology and management experience to China. At the same time, FDI has become increasingly important. At present, the Chinese government has put the automotive industry as a national pillar industry and encourage export the automobiles and auto parts. So, it has a practical significance for the development of China’s auto industry to analysis the impaction of FDI to China’s auto industry.12th Five-Year Plan is a key period for China’s automotive industry. The automotive industry must take the structural adjustment, optimize the allocation of resources, energy-saving, independent innovation and independent innovation as the main line. Therefore, it is important to actively create the policy environment, innovation environment and market environment to prove the automotive industry in the period. This paper analyze the influence of foreign direct investment to China’s auto industry and make appropriate recommendations through learning from the latest domestic and foreign research results and the situation of China’s automotive industryThere are seven parts in this paper. The first part is introduction, it describe the research background, significance of research, research methods, innovation and the possible deficiencies in this paper. The second part is literature review. It elaborated the research results of the FDI on the automotive industry. It describes the development of China’s automobile industry and the changes of China’s automobile industry brought by FDI in the third part. The third part is the basic analysis of the development of China’s auto industry. In the fourth part, it analyzes the effects of FDI to China’s auto industry. This part is divided into the effects to market structure, product structure, technology spillovers and international competitiveness. In the fifth part, it describes the problems of China’s auto industry in the process of attracting FDI. The sixth part is the policy recommendations to use FDI effectively. It Proposes a feasible and effective policy recommendations from the government, the market, and enterprise levels. The seventh part is conclusion, it describes the main conclusions of the article.