U.s. Consumer Demand For Chinese Exports To The United States Trade Impact Study

Sino-US trade holds a vital position in China’s foreign trade. The financial crisis in2007had a huge impact on American economy and people’s consumption. After2007, China’s exports to America had declined from252,844million dollars in2008to221,295million dollars in2009. The decrease of American consumption demands effected China’s exports to America, and stroke our macro-economy tremendously. This paper illustrates how China’s exports to America have been influenced by varying American consumption demands.First of all, we analyze the traits and changes of American consumption demand, and find that American consumption level is high and consumption demand is increasing, the construction of consumption has been optimizing gradually. Then, we analyze the current situation of our exports to America from the perception of developing process of Sino-US trade, export amount to America, construction of export goods, export approaches and the problems in Sino-US trade.Secondly, based on the data of1995-2008, we explore the relationship of the American consumption demands, changing of RMB exchange rates and the China’s exports to America by the co-integration and error correction model. The results show that there is a causal relationship among American consumption demand, RMB exchange rate and China’s exports to America. The American consumption demand is the most important factor to affecting China’s exports to America, while the exchange rates’effect is not noticeable.After that, we make further analysis of the impact that the various kinds of American consumption demand have on China’s exports to America. It shows that the durable and nondurable goods consumption in America will promote our exports to America, while these exports will not affect the consumption demands in America. In the long run, our durable goods exports may be affected easily by American consumption demands, which may affect the nondurable goods in the short time.Finally, to promote China’s exports, we propose that we should optimize our export construction according to the American consumer demand, urge the diversification of export markets, utilize the FDI for promoting export development, and establish the export model that leads by the high-tech manufacturing industries.