The Development Of Trade In Services Of China And Suggesting Countermeasures

Nowadays, international trade in services develops rapidly, and the focus of the world economy competition is shifting from trade in goods to trade in services. The development of trade in services becomes a standard of measuring a country's international competitiveness.The first part of this paper introduces the global development of trade in services mainly from the five aspects, including: global trade in services maintain rapid development; trade in services sector accelerated restructuring; global imbalanced development of trade in services; commercial presence becomes the major pattern of trade in services; outsourcing becomes a new pattern of trade in services; liberalization of trade in services and barriers to trade in services coexist. Next, taking the rapid development of global trade in services as the background, the paper elaborates on China's development of trade in services. The trade in services of China has increased dramatically since the reforms and opening-up. However, there are plenty of problems, large deficit, unreasonable export structure, incomplete managing system, and so on. They restraint the development of China's trade in services, and hinder the upgrading of China's international competitiveness.The second part of the paper uses NTB index to analyze the international competitiveness of China's trade in services. First conduct a longitudinal analysis, using the data of the total trade in services and the import and export of sub-item of 10 years from 1997-2006, and calculate China's competitiveness index. The analysis shows that China's competitiveness of trade in services is weak, and it has to be strengthened. Then make horizontal analysis, choosing exports of trade in services the first eight countries in 2006, China and seven other countries. Use NTB index to make a comparative analysis, then a conclusion is reached that compared to Japan and Germany, China's trade in services is more competitive. However, compared to the United States, United Kingdom, France and Spain there is still a gap between China and the above-mentioned countries. Tourism trade in services, as a most important part of trade in services, has developed fast since 90th last century. This paper also analyzes the competitiveness of China's tourism trade in services.The third part of this paper elaborates on China's trade in services, the reasons for the slow development and put forward some countermeasures. The development of the domestic services sector is the basis of trade in services, and determines overall competitiveness of China's development of trade in services. China's domestic service industry lagging behind results in the weak foundation of trade in services; China's service trade laws and regulations are not perfect, and administration system is not fully recognized; services industry and service trade practitioners are not qualified, and face the loss of high-level talents; the government, enterprises and social sectors have weak sense of the importance of trade in services; international barriers to trade in services are quite complex. Many of the reasons put China's competitiveness at a disadvantage. In view of the above problems and the reasons, this paper presents a series recommendations as followed.To promote the development of trade in services, effective intervention of government action is very necessary and important, and can be played for protecting na?ve industries, and promote new industries, and form competitive industries. Government should make greater efforts to publicize to make the entire community aware of the importance of trade in services; make efforts to strengthen legislation as soon as possible and establish a perfect legal system for trade in services; establish a scientific system to manage the development of trade in services; develop strategic planning; develop knowledge-based trade in services, and speed up the training of qualified personnel.Enterprise is the major body of developing trade in services. Enterprises should explore brand value, the service brand marketing strategy, promote the optimization and upgrading of industrial structure, advance rapid enterprise reform, seek to multinational operations and implement the "going out" strategy.