Study Of The Relationship Between Direct Investment And Trade Between China And Russia

The economic exchanges between countries mainly appear in the form of international trade and international direct investment,international trade mainly for the international exchange of goods,international direct investment performance for the international capital flow of production.From the perspective of the history of economic globalization,the new route after the opening of the world economy through colonial expansion began with the colonial expansion of the earliest international trade,after the first industrial revolution,the capitalist world market initially formed,the capitalist countries foreign trade based on trade in goods,after the second industrial revolution,the capitalist world market the formation of this period,capitalist countries foreign trade to export capital,mainly in the form of organized transnational corporations to obtain more benefits,after the Second World War the economic globalization trend is more obvious,mainly for the internationalization of trade globalization,capital globalization,production globalization,economic management system,it can be seen that the emergence of international the formation of early trade in international capital,and the performance of international investment in the process of economic integration,the trend of cross integration is becoming more and more obvious.Since the reform and opening up,the rapid economic growth China,foreign trade and foreign direct investment continues to expand the scale,so the positive development of foreign direct investment has a lot of important strategic significance for the sustainable development of economy China.The purpose of this paper is to study the relationship between investment and trade based on country.Russia is China’s largest neighbor;there is a deep historical origin between the two countries.At the same time,Russia is also the world’s leading energy,science,technology,and nuclear power.Russia in the former Soviet Union,after experiencing a serious political crisis in 1990’s,the national comprehensive strength greatly affected,but in Yeltsin,Putin and Medvedev three leaders and the Russian people’s efforts,Russia in the fast recovery,especially economic strength recovery,Russia has a solid economic foundation,coupled with political stability,national and social steady development,Russia now is recognized as one of the international economic circles in the world’s fastest growing economy.Therefore,strengthening the economic and trade cooperation with Russia has a great influence on strengthening the good neighborly and friendly relations between China and Russia.This paper first reviews the development history of the China Russian direct investment,analyzes its investment scale,industry and the main distribution characteristics,and summarizes the China enterprises in Russia to carry out direct investment barriers.Secondly,the development of bilateral trade between China and Russia,the structure of import and export commodities and the problems in Sino Russian trade are discuss in the detail.Then through the establishment of VAR model to analyze the dynamic relationship between China direct investment in Russia and Sino Russian trade,found China direct investment in Russia and Sino Russian trade(including import and export)exists between the long-term equilibrium relationships.Through the Grainger causality test,we find that there is unidirectional causality between China’s direct investment in Russia and China’s exports and imports to Russia.Through the impulse response function and variance,decomposition shows that Chinese influence on Russia’s direct investment on trade has obvious lag phenomenon,Chinese of Russia’s direct investment in Chinese on Russian imports started after has positive influence gradually transformed into negative influence;and China of Russia’s direct investment in China began to smaller impact on Russian exports.Finally,on the basis of comprehensive analysis,put forward relevant proposals,including the prevention of investment cooperation risk,set up and launched the emergency plan,and actively promote the implementation of the outline of regional cooperation,actively exploring new modes of cooperation to accelerate the pace to enter the Russian Special Economic Zone,strengthen platform construction,strengthen guidance,enhance the investment level,in order to better the use of Chinese foreign direct investment to promote the development of the foreign trade of China.