The Impact Of FDI On Green Transformation Of China’s Industry

Since the reform and opening up,China’s industrialization level has made a great leap forward,and the industrial structure has accelerated,which has achieved the miracle of China’s high economic growth,and made China rapidly rise to become one of the world’s industrial powers.However,China’s traditional industrial economic growth mainly depends on factor input and government investment.Its typical characteristics are high energy consumption,high emissions,low efficiency and low output,which not only leads to the economic development pattern of our country although large but not strong,fast but not excellent,and also hinders the sustainable development of economy to a certain extent.In order to solve this development dilemma and comply with the concept of green development proposed in the 13th five year plan,it is necessary to change the industrial development mode,that is,industrial green transformation.In order to realize the green transformation of industrial development,many domestic and foreign factors need to be considered by us.As an important international circulating capital,foreign direct investment is an important part of China’s industrial capital.Meanwhile,the implementation of the opening-up policy and activing integration into economic globalization are the significant reason why the speed of developing and upgrading of China’s industry is so fast.Therefore,this paper selects the relationship between foreign direct investment and industrial green transformation and development as the focal point,through a series of theoretical analysis and empirical research,the relationship between foreign direct investment and green transformation of China’s industry is probed into by us.First of all,the correlation theory and current situation of green industrial transformation and foreign direct investment are analyzed by this paper.On the one hand,through the analysis and research on the theory and connotation of industrial green transformation,the specific definition and calculation method of industrial green transformation in this paper are determined.On the other hand,describing the impact of foreign direct investment on China’s industrial green transformation,and the development status of foreign direct investment in China.is represented from the perspective of general situation,industrial distribution and regional distribution.The theoretical hypothesis model demonstrates that foreign direct investment can promote the development of green transformation of China’s industry through technology spillover effect.Secondly,based on the above research background and theoretical analysis,this paper constructs an empirical model based on the provincial panel data from 2007 to 2017,in which the explained variable is the green transformation of industry,and the core explanatory variable is foreign direct investment,so analyze the relationship between foreign direct investment and industrial green transformation.Considering that the industrial green transition variables may have inertia characteristics,the lag term is introduced into the model as explanatory variables to further analyze the dynamic changes of industrial green transformation.After that,adding the multiplier of foreign direct investment and environmental regulation into the model,in order to analyze the regulatory effect of environmental regulation on this relationship.Furtherly,considering the regional differences,this paper divides the samples into three regions,namely the East,the middle and the west,and makes regression analysis separately.Finally,according to the results of theoretical analysis and empirical research,it is concluded that the inflow of foreign direct investment promotes the development of China’s industrial green transformation,and the advanced production technology and environmental protection experience brought about by it can be exported through the channels of industrial correlation,so as to promote the development of industrial green transformation.Meanwhile,combined with China’s actual situation,this paper puts forward some relevant policy suggestions on the introduction of foreign direct investment in the future.First,we should encourage foreign investment in advanced technology and strengthen the "pollution halo" effect of foreign direct investment;Second,we should implement differentiated foreign investment strategy for different regions with different endowments;Third,we should strengthen domestic R&D expenditure and focus on training high-tech talents.