The Study Of The Influencing Factors Of China’s Export Trade Energy Consumption Under The Perspective Of Production Fragmentation

Energy is the lifeblood of the national economy in a country, it has closely linkedwith country’s economic development and national security. As the strategic resource,energy has a profound impact on the process of industrialization in the countries allover the world and at the same time it also has produced certain boosting effect on theworld pattern. In recent years, China has the rapid economic growth, while the energyconsumption is also increasing. China has become the world’s largest energyconsumer and the second-largest oil consumer, and the energy is becoming animportant factor restricting China’s economic development. The State Council putforward in the "12th Five-Year" period we should adhere to reduce energy intensity,promote technological progress and improve energy efficiency dramatically.Therefore, the research on the impact of China’s trade on energy consumption hasimportant practical significance.Firstly, this paper is on the basis of the relevant concepts defined, from the viewof embodied energy to consider the energy consumption situation of China’s exporttrade.Using the input-output method to calculate the embodied energy of export tradefrom China’s various industries, analysing the present situation of energyconsumption of industry, and resolving the determinants of embodied energy.Secondly, on the basis of the previous studies, this paper take the energy intensitywhich is an important indicator that effect on the embodied energy as the symbol tomeasure the energy consumption of China’s export trade and introduce it to a specificmathematical model. It discusses the effects of trade on energy consumption from thetheory aspect and takes the control variable such as foreign capital investment,domestic capital investment, human capital, population, real income, terms of trade,dependence on export trade, processing trade share as the influencing factors of theenergy intensity to explain the changes in energy intensity. Thirdly, it is based on thederivation of the mathematical model, using the GMM estimation method to test themoment estimations of the dynamic panel data model built in order to verify that theinfluencing factors on the actual impact of the energy intensity. Finally, based on theresults of the empirical, the main conclusions may be drawn by the article: theincrease in capital investment will cause a rise in energy intensity, whether theincrease in domestic capital investment and foreign capital investment will cause a rise in energy intensity. Similarly, the increase in dependence on export trade and thehuman capital also makes the increase in energy intensity. The increase in real income,the improve of terms of trade and the growth of the population are able to reduceenergy intensity. Not consider the case of non-linear effects, the increase in the shareof processing trade will cause the increase in energy intensity. In the case ofconsidering the non-linear effects, there is the inverted U-shaped relationship betweenthe share of processing trade and energy intensity. Based on the above analysis andconclusions, this paper proposes three recommendations to reduce the energyconsumption of China’s export trade: to improve the terms of trade and reduce theratio of dependence on export trade in our country, encourage the independentinnovation of the processing trade enterprise and promote the upgrading of theprocessing trade, change the mode of economic growth and adjust the industrialstructure.