A Study On The Trade Effect Of China 's Direct Investment In

Although the government is calling on energy conservation, the development of oureconomy still mainly depends on massive consumption of resources. As the demandof resources continue expanding, the gap between resource supply and demand iswidening, and the prices of resources are soaring. As our neighbors,ASEAN countrieshave abundant natural resources, and these resources are highly complementary withours. OFDI and trade are two ways to obtain resources, and the change of theirrelationship will affect the ability to obtain resources directly, and also has asignificant impact on bilateral economic, political and diplomatic relations.After analyzing the present situation of our resource-oriented investment inASEAN and trade between our two sides, we find resource trade is growing at adeclining rate, and its proportion in total trade is reducing, while our resource-orientedinvestment is growing at an increasing rate. We conduct ADF test, Johansen test andGranger causality test to get the specific effect of investment on trade, with the data ofour investment in ASEAN and resource trade from1996to2011, and find directinvestment has a significant promotive effect on the resource export and import. Thecomparison of resource supply of ASEAN countries and resource demand of Chinaindicates resource-oriented investment in ASEAN countries can achieve a win-winresult. Considering the problems during our direct investment in ASEAN countries,the paper proposes some feasible measures for our government and enterprises.