Research On Indonesia's Rubber Export Trade With China

Since 2000,rubber trade between China and Indonesia is the first major types of agricultural products on bilateral trade.Indonesia is the second largest supplier of natural rubber after Thailand.Indonesia is known as an agricultural country.Indonesian economy aspect relies on the agricultural sector.One of the mainstay agricultural sub-sectors is the plantation sub-sector.Some of Indonesia's main commodities from this sector are oil palm,coconut,rubber,sugar cane,cocoa and coffee.Each commodity has a specificity that makes Indonesia one of the largest exporters in the world.Rubber is one of the plantation commodities which is very important for Indonesia.Aside from being a source of employment,it also provides a significant contribution as a source of non-oil foreign exchange,rubber raw material suppliers and plays an important role in driving the growth of new economic centers in the area of rubber development.In addition,rubber plantations in Indonesia have been recognized as a source of biodiversity that is bene:ficial in environmental conservation,and is also a potential source of wood that can substitute the needs of wood that has relied on forests.The driving force of a country's economy is trade.There are so many type of trade,one of which is foreign trade which is better known as international trade.Today,so many countries in any part of the world should be carrying out foreign trade.Foreign trade is closely related to exports and imports.Export and import are like two interrelated magnetic poles.Exports play an important role in the economy,with regard to revenues that are useful for the country,usually countries that adopt an out-oriented system,piling the economy towards the export sector.Exports are a sector that can spur economic growth along with the changing of industrialization strategy and import substitution industry into the export promotion industry.Exports have increasingly important role since the WTO negotiations towards world trade without obstacles(free market).The current condition of the world economy which is still dominantly controlled by developed countries,is not an excuse for every country to improve the quality of interaction in a market that is increasingly free to move in various aspects,because of the quality and quantity that only countries can produce,who are able to have excellence in facing the era of increasingly fierce competition.Countries that have excellence will quickly create a good economicinteraction rather than a country that only has one aspect.A country will trade with other countries because the country will create benefits from the removal of benefits from trade,because no country can stand alone by maintaining a stagnant economic system,without cooperation and exchange of commodities with other countries both goods and services,then a country does not increase its economy,so international trade must be sought so that it can achieve various opportunities and opportunities that exist.Towards the era of free trade,increasingly fierce global competition forces Indonesia to be competitive to maintain the economy.One way to maintain a country's economic growth by increasing development in the primary sector(agriculture).In some parts of the world,such as Asia,Africa and South America,exports have become an important stimulus for accelerating economic growth,including employment opportunities,capacity to handle resources and optimize them,and the possibility for a country to strengthen its financial and financial resources.Although the development of rubber trade between the two countries has been stable and Indonesia has a large market share in natural rubber imports from China,there are some problems between the two countries.This paper will introduce the current situation of rubber trade between China and Indonesia,and analyze the influencing factors of Indonesia's rubber export to China,including the contribution of Indonesia's rubber export to China's export value and exchange rate,and how China's GDP and international price of rubber affect the value of Indonesia's rubber export to China.Finally,according to the current analysis and the quantitative and quantitative analysis model,we will put forward the corresponding conclusions,countermeasures and suggestions to promote the rubber products trade between the two countries,including the government,industry associations and business aspects.