Study On The Regional Economic Cooperation Within The Framework Of SCO

The economic objective of Shanghai Cooperation Organization ( SCO) is to strengthen the cooperation in the fields of economic and trade, and to promote the communal development. Now the SCO has obtained the steady development in the fields of politics and military such as frontier security and antiterrorism, but the cooperation in economic and trade is comparatively lagged. Along with the realization of mechanism, how to deepen the regional economic cooperation under the frame of SCO is more important and urgent.This article mainly analyzed the present situation and problems of SCO, and elaborated the necessities of deepening the regional economic cooperation of SCO, last brought forward the pattern and choice of regional economic cooperation of SCO in the future. There are four parts:1. The meaning and theories of Regional Economic IntegrationThe regional economic integration could be divided into six phases according to the different development level. They are: preferential trade agreement, free trade area, customs union, common market, economic union and complete economic integration. The theories of regional economic integration mainly elaborated the reasons, effects and influential factors of regional economic integration. This part mainly introduced the theory of customs union, the theory of common market, the theory of agreement on the international division of labor and the theory of synthetically development strategy. 2. The present situation of regional economic integration of SCOThe bilateral economic and trade relations between SCO members have good cooperation foundations, but the multilateral economic cooperation of SCO is still at the primary stage. The main problems of SCO's multilateral economic cooperation are: The economic development level of SCO members is not high, and the economic potentiality disparity between members is large, which all increase the difficulty of regional economic cooperation; The degree of dependence on regional trade of members is small, which influences the effect of regional economic cooperation; The foreign investment ability of each member is weak, which restricts the development of mutual investment; The process of trade and investment liberalization is different, which affects the understanding to the aims and tasks of regional economic cooperation; There are many sub-regional economic cooperation forums within the SCO, which weakens the attraction of regional economic cooperation of SCO in certain degree.3. The necessities of deepening the regional economic cooperation under the frame of SCOThe necessities of deepening the regional economic cooperation under the frame of SCO are: The tendency of regional economic integration is deeper and deeper; the cooperation potential between SCO members is huge; providing the substantial support to the cooperation of politics and security; impelling the economic development of each SCO member.4. The pattern and choice of regional economic cooperation under the frame of SCO The final aim of regional economic cooperation of SCO is to build free trade area. The SCO members should strengthen the cooperation in the fields of trade and investment liberalization and convenience, energy sources, transportation and water sources. The concrete measures are: strengthen the mechanism construction and perform the agreements that have been signed; promote the multilateral cooperation by bilateral cooperation; promote trade and investment liberalization by trade and investment convenience; exert the crucial impetus function of China and Russia in the regional economic cooperation of SCO.