Analysis To The Development Of Sino-Korea Trade And The Potential Growth

China and Korea are the two important nations in the northeast Asian regions, along with the development of post-war international trade, the two countries'economic trade cooperation develops fast,cooperation realm opens widely continuously, both parties' trade growth is astonishing, and the prospect is good. Currently , China has become Korean biggest trade cooperation partner, Korea also becomes China's sixth trading partner, but we should notice that some problems also exist which are worthy of concern and resolving. Base on the characteristics of the two countries trade, this thesis investigates the post-war history of trade cooperation development, and analyzes the existing problems and prospect of trade cooperation between these two countries. At last we conclude the countermeasures to solve those problems.The first part is the history recalling. Because of the Cold War structure and form after the World War II, the two countries'exchanges are broken off, the economic and trade relationship also is placed in"deep freeze". Along with the Cold War situation slowing down, the two people overcome resistance, and recover the economic trade contacts slowly. The two countries'trade cooperation can be divided mainly into three parts: the first stage is from "defrost" to an indirect trade stage; the second stage is arrived a direct trade stage from the indirect trade; the third stage is from direct trade to quick develop stage.The second part is the characteristics investigation of Sino-Korea trade .While the two countries'trade volumes increase quickly,small fluctuations exist, too. Since 1992 in which year the two countries established diplomatic relationship, the bilateral trade volume grows quickly, the trade volume is increased by USD 5,028,000,000 in 1992 to USD 134,310,000,000 in 2006, increasing 25.700%, average year growth speed is 24.5%.But because of the influence of two countries'trade policy and economy environments, Sino-Korea trade still exists certain fluctuations .Second is the dissymmetry of trade structure , but have variety .Korea export capital and technique intensive type merchandise to China, while China export primary commodity or low technique content , low additional value labor-intensive type product to Korea. But this kind of circumstance has a change in the last few years, mainly having a few characteristics as following: China's product to Korea exit from the light industry article toward heavy chemical engineering industry product, from low additional value to high additional value product. China's export regards middle product as principle, and the end product increases. Sino-Korea transfer from low technical product to medium, and high technical product. Third, Sino- Korea. inside industry trade develops quickly .Along with the scale of Sino- Korea. trade extends; IT also develops quickly inside industry, and already becomes the main form. Fourth , trading relationship is close, combining degree is high .Sino- Korea trade's combining degree is higher, and they are all bigger than 1, China's average combing degree is 2.6 to Korea, Korean average combining degree is 3.41 to China, all belonging to high trade combining degree .The high trade combining degree reflects the close trade relationship of Sino-Korea trade.The third part is a problem investigation. Along with the development of the bilateral trade, the two countries'trade also meets with some problems. One is that the imbalance trade is seriously between the two countries. The main reasons are as following: The trade chain position that China is placed in East Asia decides there will be a big unfavorable balance of trade between China and Korea. China and Korea has riding comparative advantage. The Korea invests to China grows fast . The trade barrier of Korea. Second is that trade friction increases gradually. Third is that trade competition will be gradually vigorous.The fourth part is a potential analysis. First we analyze the potential While exploring a trade gravitation model. Traded gravitation model has acquired big success in the international trade, and is extensive used in the trade potential calculating, trade group effect discriminating, analyzing trade mode and estimating boundary cost, etc. This thesis is based on the actual circumstance of bilateral trade; tries to establish a bilateral trade gravitation mode. Through the return and estimate, we get a conclusion that the protect of bilateral trade will be good,and its potential will be huge. Second , the good prospect of the bilateral trade provides emollient guarantee and strong motive for the further development of bilateral trade.The fifth part is a counter plan suggestion. First, we should solve the trade deficit problem reasonably. Second, Here we give some suggestions such as strengthening the two countries'coordination, improve both parties'trade structure and enlarge investment mutually and strengthen China's independent creative ability ,etc. Second, we should promptly resolve bilateral trade friction. Third, we suggest strongly to push free trade area construction,and to push the bilateral trade.