| In recent years, the world market demand of walnuts has increased by20%annually. As the the world’s largest walnuts producer and traditional exporter, China will meet new development opportunity in walnut industry.This paper analyzed the production and trade situation of walnut in China and main producers and trading countries in the world. The research found that the plant areas and productions of walnut in China have increased great in recent years, but the trade volume has declined significantly. The paper analyzes empirically the production advantage and trade advantage of walnut in China with Scale Advantage Indices, Efficiency Advantage Indices, Aggregated Advantage Indices and International Market Share, Revealed Comparative Advantage, Trade Competitive Index. Recently, the walnut in China has obvious production advantage and lack of trade advantage. From the influencing factor aspects, natural environmental factor and policy factor are the reasons of the obvious production advantage, and the economical factor, quality factor, organized factor and process factor are the reasons of lacking trade advantage. The key to promote the comparative advantages of walnut in China is to transform the production advantage into the trade advantage, and to promote the trade advantage throughout improving the internal factors while to strengthen the production advantage. The key to promote the comparative advantages of walnut in China is to transform the production advantage into the trade advantage, and to promote the trade advantage throughout improving the internal factors while to strengthen the production advantage. |