The Effects Of Bilateral Trade Between China And "One Belt One Road" Countries Along And The Trade Potential

Silk Road Economic Belt and the 21st Century Maritime Silk Road referred to as " One Belt One Road "."One Belt One Road" is the top Chinese government’s development strategy, the inevitable requirement to build a comprehensive pattern of opening up the inevitable choice to promote the common prosperity and mutual benefit between Eurasian countries and China. The raising of "One Belt One Road " strategy aroused heated discussion across the country and positive response from other countries. President Xi Jinping said that we could get down to these five parts " communication of policy, roads unicom, trade flow, the circulation of money, the people in harmony",from point to surface, from the line to the piece, and gradually get a large regional cooperation. Since the trade flow is a bridge connecting the other four areas, the foundation of "One Belt One Road" should be placed on the construction of the smooth flow of trade, but also because the origin of the Silk Road is trade route. Therefore, actively promote trade cooperation, sign series of agreements to enhance bilateral cooperation, carry out multi-level and multi-channel communication, eliminate trade barriers to the development of trade is the only way unimpeded. At present, China has signed 14 free trade agreements (FTAs), involving 22 countries and regions, including the 10 ASEAN countries,located in "One Belt One Road" strategic coverage zone. At the same time China is also involved in a number of regional economic cooperation organizations, including APEC, ASEM, the Shanghai Cooperation Organization. It’s not only good for China’s economic development, but also make the participating countries to achieve a win-win situation. Then, FTAs, as preferential trade policies, have what impact on trade between China and trading partners is a problem worthy of study.Since 1962 and 1963, Tinbergen and Poyhonen independently introduced the gravity model into studying international trade, it has experienced a long period of development, many scholars in-depth study of gravity model and improved its application in international trade. Then, as that may affect the amount of bilateral trade, FTAs can be introduced into the model, so as to explore quantify impact of the signing of the FTAs on bilateral trade. Based on this consideration, with the relevant datas of the 60 countries located around "One Belt One Road" to do empirical research and using gravity model for data regression analysis, found that FTAs did have significant positive impact on trade flow between China and the countries,which proved the expected conjecture, then, estimated the potential of trade, specifically trade situation in China and the trade potential between partners. This greatly enriched the theory of "One Belt One Road", meanwhile, we can provide targeted policy recommendations.