Export Sophistication Of China’s Hi-Tech Products And Its Influence Factors Analysis

According to the latest Customs statistics, the amount of China’s exports reaches to 1.8986 trillion U.S.dollars in 2011. There’s no doubt that China has become the largest exporter in the world. Compared with the quantity of exports, the quality of exports attracts more attention. In order to study the quality of exports, this paper makes use of method proposed by Hausmann to measure the export sophistication of high technology, which shows that export sophisticaiton rises with the increase of GDP.This paper focuses on export sophistication of China’s hi-tech industry and product when we measure export sophistication of 14 countries’s hi-tech product with statistics of UN Comtrade from 1995 to 2010. We find that rises year by year, but it’s still at low level. Specially, only electronic and telecommunication equipment, computer and office machine are at high level, and others are at low level.This paper uses human capital, industry link effect and market competition to analyse export sophistication influence factors according to the characteristic of China’s high technology industry. The empirical reseach indicates human capital and industry link effect have positive effect on the export sophistication, while the relationship between market competition and export sophistication is ambiguous. Specially, market competition promotes export sophistication of pharm product and aircraft equipment, on the contrary, it has negetive effect on other products.This paper proposes that China should pay more attention on the development of high technology because it’s the engine of economy, the Chinese government must plan how to coordinate the development of different regions, meanwhile, the justice and reasonable market is also important. At last, the government should increase investment on human capital.