A Study On The Ecological Terms Of Trade Of Goods Among China And Five EU Member Countries

Trade and environment are the two major issues of the world today. With the rapid development of economic globalization and trade liberalization, more and more attentions are paid to the natural capital which produced by trade.Monetary capital is used to stand for the monetary value of the goods and services in traditional economics, but monetary capital doesn’t include the ecological resources and the abilities to absorb pollutants in the processes of production、transportation、consumption, so the ecological economist use natural capital to stand for the ecological value that contained in the goods and services.Bilateral trade between china and EU countries are highly developed, since they established the relations of economic and trade. According the definition of ecological footprint and ecological terms of trade, this paper calculate the value of ecological footprint、export pollution factor、import environment factor and ecological terms of trade of china and five EU countries between2002-2010, which gives a result of a huge ecological footprint surplus of China. Ecological terms of trade is used to evaluate the ecological benefits of a country or a region in international trade. The ecological terms of trade is below1in this paper. the ecological footprint surplus mainly comes from the huge surplus of the trade. From2009on, ecological terms of trade is deteriorating. With the ecological unequal exchange, China not only lose a large number of trade interests, but also will be caught into the crisis of environmental resources. Based on the rapid development of economic globalization, China still need to adjust the structures of industries、develop the sustainable economic and optimize the industry flows of FDI in China to avoid the deterioration of the ecological terms of trade.