An Analysis Of Strategic R&D Subsidies’ Impact On China’s Export Trade Interest: Based On High-tech Industry

With the rise of the Global Strategic emerging industry policy, the export ofhigh-tech industry has become an important pillar of our national industry. However,our high-tech industry is still at a low stage of the industry value chain, thecomparative advantage main focus on labor-intensive products, the technologicaladded value is relatively low, and the products focus on the less value assembly link,a lot of high-tech products are sold abroad by means of OEM, which leads to a weakposition in the allocation of international trade interest. Therefore, increasing thehigh-tech industry strategic R&D subsidies has become a significant way to promoteour high-tech products export.This paper first analyses the theory of the strategic R&D subsidies and high-techindustry export trade interest, and then investigating the rationality of our nationalstrategic R&D subsidies’ relevant laws and regulations. Using the method of endogen-ous model to analysis the importance of the strategic R&D subsidies, and quantifyingeach indicator by means of panel data to test the “first mover advantage”. This paperfinds a positive correlation between the government strategic R&D subsidy andChina’s export trade interest of high-tech products. After China joined the WTO, thepositive correlation became more evident. Besides, the capital stock in high-techindustry and the labor productivity also affect export trade interest; however, thevertical specialization and the competitive level have less effect on export tradeinterest; the technology dependence index has the weakest effect. Therefore,increasing the government’s strategic R&D subsidies, optimizing the trade structure,improving trade conditions will help China obtain more trade benefits.Combining the theoretical and empirical analysis, the article puts forward somesuggestions for our national strategic R&D subsidies policy to promote the exports ofour high-tech product.