Comparative Analysis Of The Global Manufacturing Center And Its Choice Of China's Fdi Policies Revelation

Since come into the 21st century, the productivity has been keeping growing and theinternational division of labor has been specializing as well as technology sharplydeveloping. As a result the trend of economic globalization becomes inevitable and theforeign trade of China has come into a new stage of development. China has been anoutstanding part in the world manufacturing since 1979. Nowadays China has becomethe increment to the world trade and even the main impetus to the growth of the grossglobal trade volumes. The research on the relation between China and the "GlobalManufacturing Centre", GMC for short, has been paid high attention in the academia.It is meaningful to discuss about whether China can be GMC and what kind of GMCChina should be. On the basis of historical and dynamic analysis on the three GMC inhistory, this paper will focus on the rode choice of China to be GMC, speciallybecome the self-innovated one. Through analyzing the status of Chinesemanufacturing's use of FDI, being conjoined with both active and negative effect ofFDI on Chinese being GMC, the FDI has been proved that it has much to do withChina's GMC road. The paper would bring forward correspond policies to promoteChina to develop into GMC by taking good use of FDI,and provide theoreticalsupport for China being GMC by using FDI to upgrade manufacturing industry andenhance the status of China in the international division of labor.