Empirical Study On Sino-Russian FDI Promoting The Development Of Bilateral Trade

The research thinking of this paper is through the literature review on analyzing and comparing investment, trade and their relations at home and abroad for nearly 10 years, pointing out the desirability and shortcomings of the existing literature, reviewing the development history and present situation of Chinese investment in Russia and Russian investment in China in reality, on the one hand, analyzing its characteristics and development trends from the perspectives of the investment scale、field、domestic investment enterprises, on the other hand, analyzing the bilateral trade development and existing problems in bilateral trade between China and Russia, further analyzing the interaction relations between investment and trade development, on the conclusion that increasing investment can effectively promote trade development.This article mainly adopts the empirical analysis.Empirical analyses mainly through SPSS software make regression analysis for Chinese investment in Russia and bilateral trade relationship, Russian investment in China. It finally finds out that investment promote the relation trade between China and Russia. But the investment between Russia to China and the bilateral trade relationship of the regression model present first-order serial correlation, leading to inaccurate results. In order to remove the serial correlation regression model’s bad influence on the regression model, the influence of the generalized difference method is eliminated, it is concluded that the new regression model, and come to the conclusion of Russia’s investment in China also promote bilateral trade. The article finally puts forward relevant policy suggestions to further promote trade investment, including publishing relevant policy, perfecting market atmosphere, improving industry investment results, paying attention to balanced development, strengthening the cooperation of government level, establishing free trade area.The structure of the paper is divided into five parts:The first part introduces the background of the paper and the basic concept. The second part reviews the literature about FDI and the international trade relationship. The third part points out the insufficient of the recent literature. The forth part introduces the paper’s study method, technical route, test plan and the discussing feasibility. The fifth part analyzes the Russia -China’s utilization status and mutual investment between and Russia. The sixth part analyze and current situation of the development between China and Russian and puts forward relevant suggestions and countermeasures.The innovation of this article is from the bilateral level comprehensive and systematic researching on investment cooperation between China and Russia to promote trade development, from the industrial structure of the two countries, investment, trade, commodity structure, and trade flows, this article focuses on analyzing the characteristics of the investment and trade between China and Russia, pointing out the investment and trade cooperation, and through the empirical analysis on the conclusion that investment promote bilateral trade.The deficiency of this article is the asymmetry of the structure of industry and trade between China and Russia, and other factors, such as data missing; it brings difficulties to the accurate analysis of this paper.