Experience And Lessons Of Adjusting S.Korean Industrial Structure Through FDI

International capital, especially FDI plays a more and more important role in global economy, with the advancing of global economicalIntegration process. The important reflects the influence on the speed, way, and quality of economical development of all countries, as well as on their technology advancement and structure of industry.S.Korean economy developed quickly from early 1960s, and it had basically been industrialized in heavy chemistry by 1990s. It took S.Korea only 30 years to realize the three changes of the structure of industry: textile industry-basic industry-heavy industry-service industry, which speeded up the escalation of the structure of industry. Therefore, S.Korea became a country which realized its escalation of the structure of industry very rapidly. S.Korea was compared to the "Wonder of the Han River" because of its unusually quickness of economical development and changes of the structure of industry, which was hard to see in other countries and areas. FDI played an important part in the process of overtaking developed countries.S.Korea followed such a principle as enlarging the export, increasing employment chances, improving technology, promoting industrialization and escalation of the structure of industry in employing FDI.China has been absorbing FDI since 1979, and by December 2002, 42416 joint ventures had been authorized, the foreign investment in contract had been 828.06 billion dollars, and the actual sum had been 447,966 billion dollars. China has been the second largest country absorbing foreign investment. FDI is very essential for optimizing the structure of industry and promoting of its escalation in china. However there are still many problems to solve, for example, the percentage of foreign investment in primary industry, basic industry and technology concentrated products is low, and too much foreign investment put into real in the tertiary industry, etc.This paper begins with learning the experience and lessons from S.Korea, and analyzes both the problems arising from absorbing the foreign investment into our country and the reasons that caused them the purpose of this paper is to put forward some suggestions to the industry guiding policies of bringing foreign investment in china, so that we can employ foreign investment more actively, reasonably and effective. Therefore ,we can improve the escalation of the structure of industry and promote the continuous development of our economy.