Study On Competitiveness And Complementarity Of Chinaand South Korea Electromechanical Products Under The FTA Framework

About electromechanical products in international trade,China and South Korea are all large traders.Over the total foreign trade of each country,its volume accounts for more than50% and China has been South Korea’s one of the biggest trading partners.In electromechanical products trade between the two countries,"flying geese model" has been always existing.A clear complementary nature has been there for some years.However,with China’s economic develops rapidly,cooperation has broadened and strengthened between the two countries.The idea of establishing the "Free Trade Area" between them has ended with a successful negotiation in June 2015.How to define China’s competitiveness in their bilateral trade of electromechanical products?And How to know their complementary structure? During the special time,it is an important issue to discuss their structure and characteristics between the two countries.In the environment of regional economic cooperation,we should take the chance to sum up the characters and tendency of electromechanical products trade,master the commodity structures in detail,and find factors for expanding bilateral trade of electromechanical product.Consequently,the export to South Korea could be effectively increased in China.Firstly,to analyze the characteristics and roles of the electromechanical products trade between the two countries,three aspects will be included: the growth of foreign trade,the changing trade trends and the trade structure.Secondly,an evaluation system of trade competitiveness and complementarity will be established,the comparative advantage index and trade complementarity index and some other indicators will be used to analyze the competitiveness and complementarity of electromechanical products trade between the two countries.The innovation of this paper is not only for the total trade of electromechanical products,and it also has specific analysis of different categories.Then,it comes to the conclusion: the complementarity of electromechanical products is gradually lost,the competitiveness is increased,and China’s competitiveness is obviously less than that of South Korea.Finally,in the basis of the above analysis,some suggestions will be put forward to promote the development of electromechanical products trade between them,especially to increase China’s export to South Korea.