Analysis On Export Sophistication And Its Influencing Factors Of High-tech Industries In China And India

As the world’s largest developing country and a large trading country,China has always attracted the attention of the public,and India,which is also receiving world attention.These two countries not only have comparative advantages in terms of population,resources,land,market and others,but also have certain similarities in the economy.Therefore,in recent years,there have been some voices of India that will catch up with China.We choose to analyze China and India from the export perspective that one of the troikas in driving economic growth,and get rid of the previous quantitative indicators and introduce the concept of export sophistication to the technical content of China and India high-tech industry exports,and conduct a comparative analysis.Firstly,based on Hausmann’s calculation method,this study uses the statistical data of SITC Rev3.from the UNCOMTRADE database to calculate the export sophistication of high-tech industries and products in 39 countries around the world from 2000 to 2017.At start,from the global perspective,the export sophistication of five types of high-tech products is growing,among which the export sophistication of medical and pharmaceutical products has always ranked first,while the aerospace products have the largest increase.Next,although the export sophistication of high-tech industries in China and India is showing an increasing trend,the export sophistication of China’s high-tech industries has been ranked lower in the world,but India has always been located in the world’s forefront.Finally,judging from the various sub-sectors of high-tech industries in China and India,China only ranks high in the export sophistication of office machines and automatic data-processing machines、electronic and communication equipment products,and other products are less competitive internationally,While India is the world leader in medical and pharmaceutical products and aerospace products.Secondly,in the study of the factors affecting the export sophistication of high-tech industries in China and India,eight variables were introduced for analysis.The measurement results show that human capital,technological innovation ability,foreign direct investment,level of financial development and import trade are the factors that affect the export sophistication of high-tech industries in China,and the human capital has significantly promoted the increase of the export sophistication.The factors that drive the increase in the export sophsitication of India’s high-tech industries are infrastructure,technological innovation ability,and level of financial development.Compared with China,the factors that influence the export sophistication of India’s high-tech are more concentrated and more influential.Finally,this paper puts forward the following policy recommendations for the improvement of China’s high-tech industry export sophistication: First,strengthen the cultivation and introduction of high-tech talents.Second,improve the quality of foreign investment and the efficiency of using foreign capital.Third,introduce more foreign advanced technology to strengthen China’s independent research and development capabilities.Fourth,improve China’s financial system.Fifth,increase the openness of the market and play the learning from doing effect of import trade.