Research Of The Development Of Border Trade In Xinjiang

In September 2013,President Xi Jinping visited Nazarbayev University of Kazakhstan and initially put forward the strategic conception of "One Belt and One Road initiatives"(short for OBAOR,the same below),aiming to link countries of Asia and Europe through the cooperative development of trade and culture.Consequently,the notion was met with a quick response by these countries.Border trade,which is regarded as an effective reginal cooperation platform,has played an active role in promoting the OBAOR program.Xinjiang,the core area of the Silk Road economic belt,has its unique geographical advantages of prospering border trade.Being a vital transport junction,the Port has generated positive spillover effects to adjacent countries like Russia and Kazakhstan,making itself distinguished from many other ports in border areas.This paper primarily illustrate details of the commodity composition,trading subjects,capital construction,logistics and the trend of border trade,etc.by utilizing the annual trade data of the Port from 1990 to 2015,in order to analyze the current situation of border trade in Xinjiang.We may safely draw a conclusion that prosperous frontier trade is capable of promoting the economy of port cities effectively in deed,and yet influenced by the economic downturn of CIS(Commonwealth of the Independent States),trade diverting effects are still at a low level.Besides,through on site inspection and an empirical evidence of econometric model.the dominating mode of trade is the "Transit Trade",which makes port cities unable to neither sustain the staple commodities nor increase the added value of trading merchandises.Therefore,the existent trading structure still needs to be adjusted.In addition,border trade is extremely susceptible to bilateral policies of relevant countries.Also,there isn't a unified administrative institution over the two sides,resulted from Central Asian countries' lack of efficient supporting policies to China.However,under the rapid progress in OBAOR program,developments have been made in both aspects of the "software(policy)"and the "hardware(capital construction)" of frontier trade gradually.In the future,with new industrial district of the port coming into use,port cities' maintenance of staple commodities will be vastly improved,electrical appliances product with high added value share rises year by year.And the structure of border trade will be optimized as well.New means like cross-border electronic commerce and tourism shopping are also becoming popular consumption hotspots,which bring new vigor and vitality into the border trade of Xinjiang.