An Empirical Study On Intra - Industry Trade Of Sino - US Manufactured Goods

China and the United States, the two largest economies in the world, the trade between the two sides not only is a strong impetus for their own economic growth, but also has a significant impact on the development of the world economy. In the background of the changing world economic environment and China’s reform and opening-up, improvement of the foreign trade structure also changed the pattern of trade between China and US, manufactured goods has become the most important products in bilateral trade, intra-industry trade also occupies an important position in the manufactured goods trade. Therefore, the comprehensive and deep analysis on Sino US intra-industry trade of manufactured goods has certain reference value to the further development of Sino US bilateral trade.This paper adopts theoretical as well as empirical analysis approach. First of all, this paper describes the related theories of intra-industry trade and its measure index; secondly, analyzes the current development of Sino US intra-industry trade of manufactured goods, using the G-L index to measure the level of Sino US intra-industry trade of manufactured goods, obtains the overall intra-industry level through the weighted average method and contrasts with other adjusted index, using GHM index to determine the type of Sino US intra-industry trade; then, based on reference to previous research results, brings 5 variables, the Sino US GDP per capita differences, China R&D level, China actual utilized American foreign direct investment, China industrial economies of scale and trade imbalance into regression model, analyses their effect on the overall intra-industry level of Sino US intra-industry trade of manufactured goods. Finally, according to the analysis of the current situation and the empirical results, this paper will put forward the countermeasures for further development of the Sino US intra industry trade of manufactured goods.The conclusions of this paper are as follows: the overall intra-industry level of Sino US manufactured goods measured by weighted average method is low, but from the modified G-L index and Aquino index point of view, Sino US manufactured goods show features of higher intra industry trade, GHM index value indicates that type of intra-industry trade between China and the United States is vertical. The empirical results show that: China actual utilized American foreign direct investment does not significantly affected on Sino US intra-industry trade of manufactured goods, the Sino US GDP per capita differences and China R&D level have a positive effect on that, the Sino US trade imbalance and China industrial economies of scale have a negative effect on Sino US intra-industry trade of manufactured goods.