Sino-us High-tech Products Trade Balance Study

The global economy has entered the era of information economy, science and technology is essential to a nation's competitive position. China has a huge demand for technology, while the United States maintains strong presence in the areas of information technology. As a result, the hi-tech products trade between China and U.S. reflects their economic and political power. It is worth approving that Sino-US high-tech products trade has been flourishing. However, the research shows that Sino-US hi-tech products trade does not conform to the traditional theory of comparative advantage, and the international specialization between China and U.S. is not reasonable. This paper analyzes the current situation of Sino-US hi-tech products trade, and the causes and the essence of trade imbalance. This paper is an attempt to reveal what impact the surplus has on China and U.S., and put forward the suggestions for our country's strategies and policies. Hoping that this paper could be of use in the hi-tech products development of China and help enhance the competitiveness.This paper uses economic method to analysis if the trade theory fit the Sino-US hi-tech products trade, gets the distinctive feature of the Sino-US bilateral trade, and applies the SWOT model to analysis the opportunities and challenges China faces in the current international situation. In the objective position, this article analyzes the internal and external causes which lead to the trade surplus between China and US, and points out that the underlying cause is that America set obstacle to free trade. When it comes to internal causes, this text is not confined to traditional economic factors, and takes into account diplomacy, ideology and many other factors to analysis our country's impropriety. In the end, this paper analyzes the current economic crisis, and objectively points out China will face challenges and opportunities in the Sino-US hi-tech products trade. Even though the crisis is harmful, it can help to adjust the pace of economic development of our country, and upgrade industrial structure.