The Impact Of Country's Leaders' Visits On International Trade In China And Its Cooperative Countries

With the deepening of China's participation in global affairs and the increasingly close links in international trade,visits by heads of state or governors have been widely watched because it affects political and economic relations between countries,thus affecting the trade environment,implementing a practical effect on international trade.This paper explores the influence of diplomatic visit on bilateral trade through the trade gravity model.The basic trade gravity model is expanded by introducing the states' leaders' diplomatic visits.Then,according to the data availability and the international trade volume with China,100 countries were selected as the empirical test objects.Countries which trade with China are referred as Partner Countries in this paper.The results show that visits between countries can offer trade opportunities for countries,providing a platform and communication channel for the reduction of trade barriers,the settlement of trade disputes and the strengthening of trade cooperation,so that the export of partner enterprises has increased with the deepening of visits between two countries,with higher the level of visit causing more significant impact.The delegates always represent the interests of their own country,so they will assist their enterprises in marching to the international market by providing service and gathering information,and business representatives who follow the delegates can efficiently sign the contracts and projects.Therefore,the visit of the partner countries to China is more conducive to their companies' export to China.Because multilateral meetings such as G20,APEC and other international conferences are informal,formal negotiations can not be made,so bilateral visits are more likely to increase the export of partner countries than multilateral visits.