The Research Of Affecting Factors Of Frontier Trade Facilitation Of Xinjiang, China

With the accelerating process of economic globalization, the international division of labor and regional economic integration is particularly important. Foreign trade among countries promote its economic development rapidly which as a way of an exchange of goods or services. Trade development in the developed countries of the world generally experienced the process from restrict trade to open trade, to facilitate trade. Trade facilitation development gradually reduce the world’s average tariff level through promoting tariff reform, which will continue to promote the development of international trade. At the same time, a lot of "invisible barriers" is by influencing the cost of trading and hinder the development of international trade. Trade facilitation development has received numerous international organizations,governments and trade circles of common concern.The economy of the world is still in a fragile recovery phase today, on the contrast the economy of China still keep rapid development. At the same time, China also need to face the more complex international environment. Xinjiang is the most important portal and bridgehead and it has an important strategic position in the process of our country open to the west. Border trade as an important part of Xinjiang foreign trade, border trade facilitation development have a profound effect on economic development in Xinjiang. Therefore, Xinjiang is facing a very important subject which is how to take its advantages, promote its frontier trade, improve the level of foreign capital utilization, speed up the strategy of "going out", act.This paper firstly analyze the definition of frontier trade and its related theories. Then introduce the current situation of frontier trade of Xinjiang, analyze its status and role in the development of economy and social of Xinjiang. Select the reasonable index which infect the frontier trade of Xinjiang and build the evaluation index system of the frontier trade of Xinjiang. Measure and analyze the level of trade facilitation by using assessment system mode and the datum from 2007 to 2011. On this basis, this paper analyze the influence of the level of trade facilitation to the flow of the frontier trade of Xinjiang, and the companies which engage in frontier trade. And then, this study analyze the influence factors of the frontier trade facilitation of Xinjiang by combining with the characteristics of the frontier trade of Xinjiang, and put forward a series of measures for promoting the development of the frontier trade of Xinjiang.Through the research, this paper get the following conclusions: firstly, the highest level of frontier trade facilitation is Xinjiang, China, followed by Kazakhstan, Kyrgyzstan’s border trade facilitation has the lowest levels. Although the frontier trade facilitation of Xinjiang,China is the highest in our study, but eachindex of the level of frontier trade facilitation is still low, which put off seriously the development of the level of frontier trade facilitation of Xinjiang. Secondly, the border trade gravity model empirical results show that the level of frontier trade facilitation and if the frontier trade partners join the SCO or not have obvious role; the per capita GDP and population of frontier trade partners have obvious role; the space distance of the frontier trade partners to Xinjiang, China has negative effect; the cost of transportation become a serious factor to put off the development of the frontier trade of Xinjiang; Thirdly, the frontier trade of China, Russia, Mongolia and Tajikistan is a potential big type; the frontier trade of Kazakhstan,Kyrgyzstan, and Pakistan belong to potential shape again. Fourthly, the frontier trade facilitation of Xinjiang bring the following positive effect to the border trade enterprises: increase the economic benefits;To attract foreign direct investment; Reduce the time delay, improve the safety of enterprise trade activities;Fifthly, through the analytic hierarchy process, we can get the key factors which influence the frontier trade facilitation of Xinjiang, including the quality of railway port facilities, the number of Internet user,and the important factors include almost all links which make sure the activities smoothly of the frontier trade of Xinjiang.