Research Of Foreign Direct Investment On Foreign Trade In The Western Region Of China

The western region as our multi-ethnic gathering area, Due to its unique geographical environment, history, culture and natural factors, these lead the development level of its foreign investment and foreign trade are relatively fall behind,and of course, there is a clear gap between the west and the East or middle area. Since the reform and opening up, especially after the implementation of the "western development" strategy in the country in 2000 and under the policy background of Chinese join WTO in 2002, Foreign trade and foreign direct investment in the western region has been rapid development. But at the same time, Some problems appeared in the process of the introduction of foreign capital is inevitable,and certainly influence the full play of trade effects. Therefore, the study of the relationship between FDI and foreign trade in the western region has important practical significance.Firstly, the paper hackles the current literatures on the relationship between the domestic and foreign scholars on FDI and foreign trade, reviews the basic theory of foreign direct investment's impact on the foreign trade, and discusses the mechanism of the effect between them. Then, comprehensively analysis the current situation in the western region of foreign direct investment and foreign trade development. Among them,The description of the current situation in foreign trade mainly from the volume of trade, the major trading countries, commodity structure of trade and some other aspects., the paper also analysis the foreign direct investment in the western region from the aspects of scale and from, the source, industry and geographical distribution. Again, on the views of trade flows and trade structure, according to the status of 1994-2012 year in the western region of foreign direct investment and foreign trade, empirically analysis of the impact of FDI on foreign trade in the western region. Finally, on the basis of theoretical analysis and empirical analysis, according to the condition of foreign investment in the western region, the end of the paper provides some related suggestions about how the western region better to attract foreign capital and utilize foreign capital to coordinating the foreign trade.