Study On The Strategic Trade Policy And The Development Of Automobile Industry In Jilin Province

Strategic trade policy, originating from the experience of some developedcountries such as Japan, European countries and the US, is of a kind that aims atprotecting the interest of a country’s domestic enterprises through constraining thecompetitions from their foreign rivals. These developed countries have in-depthexperience in both research and implementation of trade policy.Compared with them, developing countries have shortage in this respecttheoretically and practically, thus they naturally lag behind in the research ofstrategic trade policy. Therefore, there is a necessity for us to further our researchand practice of such a policy.This paper, on the basis of illustrating the emergence of strategic trade policy,carries out elaborations about the most basic concept of this policy. Subsequently,the development of auto industry in Jilin Province is analyzed deeply, upon whichthe internal problems of this industry and their causes will be explained, leading to aconclusion that Jilin embraces certain conditions to adopt strategic trade policy dueto the continuous improvement of its imperfect competition market structure, theemerging effect of scale expansion in its auto industry and so forth. The paperfurther puts forward proposals for implementing strategic trade policy in Jilinincluding government subsidy, market unity of the auto industry and so on. Byperforming a series of researches and analyses, this paper aims at providingtheoretical assistance for adopting strategic trade policy in auto industry in Jilin.This paper reviews a train of literatures about strategic trade policy theory, inorder to expound the connotation of this policy and the possible development patternof the auto industry in Jilin under it. Moreover, individual cases have been analyzedin this paper with a purpose to assess the environment and conditions forimplementing this policy and offer relevant proposals. This paper has following innovations:Firstly, it analyzes the existing problems and their causes in the auto industry inJilin through literature review and case study, and thereby presents certain advicesfor auto industry development under strategic trade policy in Jilin.Secondly, it possesses a unique perspective, because it chooses strategic tradepolicy to be the background against which the study on auto industry development iscarried out, which is uncommon in academic community.The conclusion of this paper shows that in the auto industry development inJilin, there are many problems including but not limited to lack of competitivenessand technical innovation in the industry, relatively low brand image of self-ownedbrand automobiles, underdevelopment of auto-related industries as well asimperfection of marketing system and after-sale system. On account of that strategictrade policy plays a guiding and decisive role in auto industry development indeveloped countries, this paper considers that such a policy is applicable and feasibleto the auto industry in our country and in line with the strategic goal and orientationof auto industry development in Jilin. Therefore, it moves forward to presentproposals for adopting this policy in auto industry in Jilin.