A Study On The Current Situation Of South - South Trade Development In The Global Financial Crisis

At present, all countries of the world have been taken great efforts to restorefinancial stability and sustainable economic development, the economic developmentof developing countries is particularly a matter of concern. In this paper, we mainlydiscuss the present situation, characteristics of south-south trade and China’s statusand impact in south-south trade which based on the economic relations of developingcountries.After the global financial crisis in2007, South-south trade exhibit the followingcharacteristics: First, the trade scale and proportion of south-south trade in globaltrade is continuously expanding. Second, the large portion of export commodities aremanufacture goods, the proportion of export primary goods in south-south trade isrising steadily. Third, the south-south region economic integration has become themain way of promoting south-south trade, with the deepening degree of economic andtrade cooperation between developing countries. Last, developing countries takevarious of measures to promote south-south trade liberalization, which includingdrastically reducing tariff barriers, strictly regulating nontariff barriers and expandingmarket access. At the same time, China, as a key member of developing countries,shares broad common interests in aspects of political and economic areas with otherdeveloping countries. In the process of south-south trade, China has huge potentialsand broad prospects. China’s position and impact in south-south trade is continuouslyrising. The trade scale between China and other developing countries is expanding,the trade structure optimized constantly and trade cooperation is steadily improved.This article makes an empirical analysis of China’s import and export trade with otherdeveloping countries in aspects of comparative advantage, competitiveness and tradegrowth potential from2000to2012through regional revealed comparative advantageindex (RRCA), international trade competitiveness index (TC), trade intensity index(TII). However, we should also see, China still faces with some difficulties andchallenges in south-south trade process. For example, the trade frictions betweenChina and developing countries are soaring, China shares similar industrial structure with some emerging economies. Therefore, China and other developing countriesshould overcome difficulties and move on to further strengthen trade cooperation.