Analysis Of Dual Margins For Chinese Export Intermediaries

With the opening of China’s import-export operation rights, new changes had occurred in trade intermediary enterprises, export volume and the number of companies. In2006the proportion of China’s exports through trade intermediaries was21.5%, and the number of trade intermediary enterprises accounted for22.71%of total export enterprises, which means that the trade intermediary business occupied an important status in China’s import and export trade. In the summary of the home and abroad researches, this paper analyzes the export’s dual margins of the trade intermediary enterprises on the basis of the trade costs.In this paper, we observed the characteristics of China’s export intermediary from the perspectives of export quotas of the intermediary, corporate ownership and economic geography. It is founded that with the opening of China’s import and export operation rights, the proportion of state-owned intermediary enterprises’ exports dropped from94.15%in2000to45%in2006, while the private sector rose from0.78%to43%. In the meantime, the number of private sector accounted for81.72%in2006, while the number of state-owned enterprises accounted for only11.04%. Exports of intermediary companies in eastern, central and western distribution were less concentrated than direct exports, which was conducive to the balance of the eastern, central and western export. Trade intermediary companies both in the export product category and in export destinations were significantly higher than that of direct export enterprises. And trade intermediary enterprise exports in a single export market, export quantity and the price were lower than that of direct export enterprises. It explained that in a single export market, the total exports, export quantity and prices of intermediary enterprises were lower than the same export markets to direct trade enterprises.It is founded by the binary decomposition of export, the export growth of both intermediary companies and direct export enterprises were mainly from the extensive margin. Through the regression analysis of influencing factors of trade intermediary export dual margins, the results showed both the number of days and the costs required to complete a standard container in import procedures at the destination had negative correlation with total exports and extensive margin of trade intermediary, while there was no significant influence on intensive margin; The number of documents required to import were not significant in intermediary enterprise exports, intensive margin and extensive margin, which means intermediary companies export were not subject to import documents in the process of impact of trade costs. And the required time and costs to import at the destination increased the intermediary companies’ trade costs directly, which had a significant negative correlation with the total exports and extensive margin, but no significant to the intensive margin, explaining the intensive margin of trade intermediary export enterprises by the impact of trade costs is not obvious, and the influence of the intensive margin was more stable.Then we analyzed the impact of exchange rate movements on trade intermediary. The results showed that, when exchange rates changed, trade intermediary enterprises were more obvious than direct export enterprises’ extensive margin in the fluctuations, and export product range generated big fluctuations, which was not conducive to the steady growth of exports. At the end, this paper did survival analysis of exchange rate movements on trade intermediary companies. It was founded that export trade intermediary had shorter duration in export, and survival rate was low at the same time frame, which means although export diversification can increase exports and promote trade, it was not conducive to sustained export.