Upgrading The Industrial Structure Of China’s Manufacturing Industry Based On The Perspective Of Intra-Industry Trade

Intra-industry trade is a new trade pattern, which emerges in the new stage of international trade development, refers to a country both import and export the same products. With the development of economic globalization and international division of labor, intra-industry trade is increasingly becoming the world common concern trade patterns, also evolved into the dominant mode of international trade. And industrial structure is always closely linked with trade structure and trade patterns, which is an extension of the industrial structure in the opening market economy, meanwhile the industrial structure adjust and optimize on the basis of the trade structure and its mode. The total import and export trade of our country keep a sharp rise in the recent years, of the world’s trade proportion also gradually increased, the trade structure and trade patterns have a series of changes, intra-industry trade has become a mainstream trend of China’s international trade. The upgrading of industrial structure is an issue concerned worldwidely, whether the industrial structure is reasonable or not has a siginificant effect on the country’s healthy, stable and sustainable development. It is a common focus of all aspects.The relevant characteristics of intra-industry has strong applicability to the upgrading of industrial structure, through its spillover effect of demand structure, the accumulation of physical capital, human capital accumulation, technological progress and competitive mechanisms. Intra-industry trade and upgrading the industrial structure have a dual mechanism in the open economic condition. Based on these two-pronged approach,this article conducts a study of these two issues together, lets the spillover effects of intra-industry trade as a starting point, from five aspects:demand structure, the accumulation of physical capital, human capital accumulation, technological progress and competitive mechanisms to explore the interaction mechanism between intra-industry trade and upgrade the industrial structure, makes a empirical analysis with China’s manufacturing industry data from1991to2010. Intended to improve the level of trade in China’s manufacturing industry, thus promote the optimization of the industrial structure upgrading.The first part introduces the research background and its theoretical and practical significance, and reviewed the literature on intra-industry trade and upgrade the industrial structure at home and abroad. The second part is a theoretical analysis, defines the related concepts of intra-industry trade and the upgrading of the industrial structure, discusses the estimates and its spillover effects of intra-industry trade, industrial structure upgrade path selection and its impact factor, highlighting the urgency of the upgrading of the industrial structure.The third part is the data analysis phase, combined with the reality of China’s manufacturing industry data, analyse the status quo of intra-industry trade and the history of the upgrading of the industrial structure change.The fourth part is the empirical analysis, combined with China’s manufacturing data from1991to2010, makes overall analysis and empirical testing of the various elements of the upgarding of the industrial structure, do the general analysis, correlation test and pathway analysis between intra-industry trade and the upgrading of the industrial structure, to find the interaction mechanism.Finally, according to the theoretical and empirical analysis, this paper gives a review of the effect intra-industry trade on China’s upgrading industrial structure, and put forward several policy recommendations.