Study On The Geographical Distribution And Influence Factors Of China’ Intermediate Products Trade

Intermediate product trade is one of fundamental feature of current world economy,It can reflect the trend of the global value chains(GVC)specialization.As a major participant in global value chain and East Asian regional value chain,China’s intermediate products trade plays an important role in its own trade structure and the world market.From the perspective of global value chains,this article takes China as the research object,describes the geographical distribution characteristics of China’s intermediate product trade.This paper studies the impact of factor endowment,industry linkage,domestic economies of scale,geographical factors and trade protectionism on China’s intermediate product trade from both theoretical and empirical perspectives,provide suggestions for China to participate in the global value chains and promote the trade of intermediate products with countries around the world.In terms of describing features,this paper mainly uses geographical distribution of China’s intermediate product trade volume,intermediate product trade matrix,intermediate product trade integration index and industry linkage index to analyze,describe the geographical distribution pattern of China’s intermediate product trade and grasp the trade dependence between China and East Asia,Europe and North America.The intermediate product trade matrix and intermediate product trade integration index shows that the phenomenon of fragmentation does exist in the global value chain.As a core country in East Asia,China has obvious bidirectional dependence with East Asia in the intermediate product market.The trade links between China and North America show a strengthening trend,and there is no obvious dependence in China’s export of intermediate products with Europe.The results of industrial linkage indicators show that China’s dependence on the upstream of the three regions are all higher than that on final demand.In terms of different areas,China mainly relies on East Asia for upstream supply,then North America and Europe.NorthAmerica is the area where final demand dependence degree is the highest.In terms of different industries,China ’ s upstream dependence degree and final demand dependence degree in secondary industry are both higher than itself in primary industry and tertiary industry.In terms of empirical research,this paper selects the panel data of East Asia,Europe and North America to study the influencing factors of China’s intermediate product trade.It is found that China’s economic scale,the similarity of factor endowment between China and partner countries,and the industrial linkage will have a positive effect on China’s intermediate product trade with partner countries,while the geographical distance has a negative effect.In addition,China’s intermediate products trade with its partner countries will also be affected by the scale of its trade with that country last year and the trade between other partner countries and China.Combined with the regression results of regional samples,this article believes that the difference of geographical distance will make China more inclined to trade with East Asia,but specifically within the region,this difference is no longer the main factor affecting the intermediate products trade.In the end,based on the above research,this paper proposes China’s countermeasures under the new international and domestic situation,including improving the supply level and innovation,paying more attention to the domestic market,expanding cooperation with “ Belt and Road ” countries,deeply embedding into the East Asian regional value chain and establishing stable trade relations with Europe and North America,achieving mutual benefit and win-win cooperation.