Research On Improving The International Competitiveness Of Export-Processing Industry In China Under The New International Division Of Labor

Under the impetus of the economic globalization, most countries have been integrated into the system of the global division of labor. With the deepening of international division of labor, international trade majored from the inter-industry trade to inter-product trade, and new international division of labor managed by multinational companies that in accordance with the different processes of global value chain and link have expanded rapidly. In this process, China is based on its comparative advantage of abundant and cheap labor, to undertake international industrial transfer, mainly in the form of export processing to participate in the international division of labor. After the development of more than 30 years, China’s export-processing industry has expanded rapidly, having become the dominant force in China’s foreign trade, which promoted the optimization and adjustment of industrial structure and the development of foreign trade, brought huge gains for its economy. In recent years, however, the problems existing in the development of China’s export-processing industry also gradually exposed, that its first comparative advantage of cheap labor is losing with the increase of wages of the workers and the rise of a third country. The main labor intensive production has the characteristics of high input, low output and low added value, showing its unsustainable development. Scholars today for China council is increasingly frequent for the transformation of the foreign trade growing mode and the upgrading of export-processing industry structure to promote the international competitiveness, which has become an important concern of government and economic scholars in our country.This article putting the development of China’s export-processing industry in the situation of the new international division of labor, on the basis of analyzing the existing theories and literature, points out the present situation and problems of China’s export-processing industry. Although China’s export-processing industry develops quickly, the leading enterprise is from foreign direct investment, the structure of exported commodities is still faced with adjustment, and the rising wages and the rise of the third countries lead to its competitive advantage weakened. Also, the ability of enterprise to innovate and research independently is low, and mainly engaged in labor intensive industry leads to high input and low efficiency which nearly in the end of the link in the global value chain. Based on the influence of the new international division of labor on the international competitiveness of export-processing industry for China, there is an empirical analysis of the effects of various factors. Through the introduction of importing and exporting data for processing industry from the developed and emerging countries and that who has the same comparative advantages with China, to set up the index system analyzing the current international competitiveness of China’s export-processing industry, and to explain the role of the various influencing factors. Finally put forward suggestions on promoting the international competitiveness of China’s export-processing industry, that promote its transformation and upgrading and implement the strategy of "going out".