Impact Of Import Trade On Ecnomic Growth

The past 30 years of reform and opening up, with the deepening global economic integration, import and export trade is playing an increasingly important role in a country's economic development. Imbalance of China's foreign trade is obvious, and a few problems such as frequent trade friction, low technology content, low profit and other issues are becoming outstanding. As a part of trade, Import trade is no longer simply regarded as the leakage of national income. Expansion of imports will promote balance of China's foreign trade structure and reduce international pressure on continued growth of foreign exchange reserves. Import trade will be concerned more and more by academic and political circles.Commodity has different impact on economic growth. China should optimize its import mix and actively expand export of short resources, advanced technology, key components and energy saving products, properly expand imports of consumption commodity, distinct imports of different commodity and sectors, play the important role of imports on the macroeconomic balance and structural adjustment and optimize the trade balance structure. This is also the subject of study in this article.Firstly I analyze development process and current situation of China's import trade based on gross import volume and imported commodity structure, finding that China's total import and export volume shows a trend of growth, structure of China's imported commodity is basically stable and intermediate products amount to a larger proportion in imported commodity. Then I analyze the impact of import of raw materials, intermediate commodity and consumption commodity on economic growth. Impact of these three types of commodity on the mechanism of economic growth is not completely same. Import of raw material impacts the economy mainly by supply increasing and the marginal effect, import of intermediate commodity impacts the economy mainly through technology spillovers and facilitating demand and other ways, while import of consumption commodity affects the economy mainly through substitution effect and stimulating demand. Finally, according to the above analysis, I put forward some recommendations on policy. I believe that China should optimize its import mix, distinct import of different commodity and sectors, actively expand import the resources shorted domestically, advanced technology, key components and energy saving products and moderate expand import of consumption commodity.