Analysis On The Commodity Composition Of China's Balance Of Trade

China's trade surplus has been in a steady scale since 1994.But it raises sharply in 2004.In the longrun,trade has been a major engine for China's economy,but its sideffects are emerging.Such as the imbalance of internal and external macroeconomy,the pricking up trade frictions and overwhelming pressure on RMB's appriciation.So, in recent years , resolving the trade surplus problem and returning it into a resonable level is becoming a hot issue that governments and scholars concern about.Since 2007, the credit crisis in America gradually spreads into global financial crisis and affects the real economy.Although the growth rate of trade surplus declines in both 2008 and the first few months of 2009, China's balance of trade still remains surplus.Therefore, it has practical significance to study the commidity composition of China's balance of trade.Regarding to the issue of commodity composition that forms China's trade surplus, predecessors usually analyze one-digital commodities of SITC,but this essay uses three-digits commodities of SITC and classifies commodities from group 0 to group 9 into three-digits,then analyzes their contribution rates to trade surplus or trade deficit,in this way this essay gains the characteristics of commodity composition that forms China's balance of trade. The conclusion reveals that commodities which contribute a lot to China's balance of trade are food,raw materials,fuels that from primary goods and manufactured goods with high added value,that is,0 group,2 group,3 group,5 group, and 8 group. China's trade surplus is maily caused by manufactured goods,and commodities of 8 group contribute a lot to the trade surplus,it means at present China's export composition is still characterized by labor-intensive goods,so trade surplus caused by capital-intensive and technology-intensive goods is the direction for composition optimization.One of the characteristics of this essay is to use three-digits commodities of SITC Rev.3 from UNcomtrade datebase,and summarizes characteristics of the commodity structure of China's balance of trade from many tables and graphs.In the end, the essay put forward pertinency suggestions on composition optimization of exports base on previously analysis.