Study On The Development Of Processing Trade In Hebei Province

Ever since reform and opening up, along with the upgrading of degree of opening up and the requirement of deepening of international division of labor, processing trade has developed rapidly in China and has gradually become the main mode of foreign trade, and it plays significant roles in promoting the development of foreign trade, increasing foreign exchange earnings, expanding employment, promoting industrialization process, and improving the level of economic development. From the view of regional distribution, the developments of processing trade of the eastern coastal provinces are outstanding. The amount of processing trade in each province accounts for more than 40% or even more to its total amount of foreign trade, which greatly promotes its development of foreign trade and economy.In contrast, although it is relatively backward, the processing trade in Hebei province has also developed rapidly in recent years, which has played a certain role in the development of foreign trade and economic growth in the region. Equally placed in East China's coastal areas, by virtue of the level of industrial development and an excellent geographical advantage, there are great development spaces in processing trade in Hebei. A research report made by Hebei Statistics Department in 2005 says that processing trade should become the main priority of the new breakthrough in realization of export trade scale and structure of Hebei in the coming 5 or 10 years. Therefore, the research on the status, influence factors and countermeasures of processing trade can help provide effective guidance for further accelerating development of processing trade, export-oriented economic and economic growth in Hebei.The thesis first defines the connotation and ways of processing trade, makes summary and brief comments on the basis theory of the existence and development of processing trade. Then it makes a comprehensive and multi-level analysis about the present development situation of processing trade in Hebei province from the angles of total amount and structure, empirically analyzes the active effect of processing trade to Hebei economic growth by the use of cointegration test, error correction model, and granger test in order to determine the status of processing trade in the economic development in Hebei, and sums up some problems of processing trade through comparative analysis to the nation or other provinces. On the foundation of the analysis of present condition, this thesis studies the impact factors of the development of processing trade. Taking into account that processing trade is a kind mode of foreign trade in the manufacturing industry, this thesis takes each relevant indicator data of manufacturing industry of Hebei from 1998 to 2007 as the factor variables which influence processing trade, gets main factors through the method of factor analysis using principal component extraction, and then empirically analyses the influence degree of each main factor to processing trade in Hebei by regression analysis, and arrives to the conclusion that further development of processing trade in Hebei needs introduction of more foreign capital. Aiming at how to scoop out potential to further accelerate the development of processing trade in Hebei by combining the successful experience of processing trade developed areas at home and abroad as well as the results of empirical analysis, the article finally puts forward the countermeasures and suggestions, including promoting structural optimization relying on science and technology, intensifying efforts to attract foreign investment and to ensure the quality of foreign investment, improving the matching and deep-processing capacity to increase value-added, giving full play to the advantage of export processing zones and improving policies, strengthening services and management with a view to provide a reference value to the export-oriented economic development and promotion of economic growth in Hebei province.