The Impacts Of Trade Frictions On Sino-India Trade And The Suggestions

With the continuous development of Sino-Indian trade, the trade frictions between China and India are becoming more frequently. India takes more protection measures to hinder the export from China. The trade frictions make a negative impact on the development of trade between China and Indian.I studied deeply about this phenomenon. Although bilateral economic and trade development path is tortuous, but in recent years the trade between the two countries develop rapidly, while trade frictions between the two countries becomes a more and more serious problem, hindering the development of bilateral trade. The main reasons of the frictions between the two countries are the world economy, India's economic problems and the trade policies, and the limitations of China's economic system. Although India's trade protection measures have some positive effects, compared with the negative impacts, the advantages would not count much. The trade protection measures taken by India seriously hindered the development of bilateral trade. Therefore, the Government, enterprises, and industry associations should take actions to ease the trade frictions, improve bilateral economic and trade environment, and promote the China-India free trade area.In this paper, I studied the impacts on the bilateral trade structure of the trade protection measures taken by India underlying the theoretical and empirical analyses. I analysis the reasons of the Sino-Indian trade frictions from all sides. The latest data shows that there are some analogies between the trade structures in China and in India. At the end of the paper, I give some proposals to ease the trade friction between China and India.