Intra-Industry Trade Study Of Chinese Swine Products

China has the biggest pork consumption in the world. Due to traditional preference, swine products have always been the most important Agri-product in China. As the economy develops, the gap between China and developed countries has been diminished, so as the Swine industry. This paper tries to use the traditional international trading analysis frame, to study Chinese swine products trading, further combined with Intra-industry trading theory to find out the Intra-industry trading level and its features of Chinese swine industry. In the end, the author chooses America, ASEAN and EU as example to explore the swine products Intra-industry trading level and its features between China and its significant trading partner.It turns out that during 2000 to 2012, swine products import bursts while export remains still, which lead to the transition from trade surplus to deficit. Export destination countries fix on Asian countries, while import source countries concentrate in European countries and North American countries. Whole industry trading structure is changing. Main export products change from Live Swine to Chilled and Frozen Pork, as well as Pure-Bred Breeding Animal. And export keeps expanding and diversifying. Most Chinese Swine products lack competitive advantage in the global market. And even though those bacon and salted pork has relatively higher advantage, they still have quite small market share.Intra-industry analysis model indicates that Intra-industry level is quite low in Chinese swine industry. So the Inter-industry trading prevails. Intra-industry trade has quite limited contribution to the growth of trade value, and it is mainly coming from vertical intra-industry trade, which explains that factor endowment difference is still the base of international division of labor for China, and China is still behind world level. Judging from specific product, Chilled & Frozen Pork trading has been significantly influenced by Intra-industry trade, however this influence is mitigating these years.Combined with analysis result and existing Intra-industry trade influential factor study, the author proposes advice from the aspect of improving pig raising technology and swine products quality control, in order to mitigate international difference. Also the analysis results rings the bell of regional species crisis of Chinese pigs, so Chinese domestic pig race is in great need of protection and exploitation. Meanwhile, China should modify its quality control system to meet the international quality standard, in case of other countries’ green trade barriers. And China should optimize the industry structure, rich the products line in order to promote the intra-industry trade of pig industry. Bacon, salted and processed pork with competitive advantage should be highly developed, and under a more open trade policy, bilateral benefit shall be realized.From the perspective of trading with specific country or region, Both China with US and China with ASEAN are compose of Inter-industry trading. To America, China is a swine products net import country. And as to the ASEAN, China is a net export country. Even from the global level, Intra-industry trade does exist in Chinese swine industry, to the trade with specific country or region Inter-industry trade prevails. However, between EU and China, Intra-industry trade exist and mutual trading is developing into diversity and prosperity.This paper breaks the traditional way of international trade study. Combining with the latest Intra-industry trade theory, the author present a new perspective of trade activity study of pig industry. However, this study only covers the intra-industry level and its feature. It lacks the influential factor study. Other than that, swine sperm has not been coded in the HS classification, so this data cannot be collected. Meanwhile, the hypothesis of Intra-Industry theory only takes trade value into consideration, regardless of trade quantity nor exchange rate fluctuation.