Research On The Influence Of Bidirectional FDI Interactive Development Level On China's Manufacturing GVC Upgrade

Since China vigorously promoted the "going-global strategy and bringing-in strategy ",China has actively integrated into international direct investment activities and played an increasingly important role in the world economic structure.On the occasion of the fortieth anniversary of reform and opening-up,China has made great achievements.According to the latest data on the website of the Ministry of Commerce of China,in the whole year of 2018,the total import and export of Chinese goods exceeded US$300 billion,and the actual inflow of foreign investment was US$138.3 billion,ahead of other developing countries.At the same time,in 2018,China's total foreign direct investment in the industry exceeded 129.8 billion US dollars,an increase of 4.2%.It can be seen that the amount of foreign direct investment in China and the amount of foreign direct investment are very large,ranking first in the world,indicating that China is actively pursuing international investment activities in the dual capacity of the home country and the host country,and gradually embedded in global value chains.But for a long time,China's manufacturing industry has been at the low-end of the global value chain,and it has fallen into the trap of "low-end locking".Undoubtedly this is not conducive to the healthy development of China's manufacturing industry,and will inevitably have a negative impact on China's overall national economy.Therefore,breaking through the shackles of "tragic growth",promoting China's rise in the status of international division of labor,realizing the upgrading of global value chains,and promoting the development of China's economy are one of the important tasks of China in the critical period of economic transformation.At present,more and more scholars pay attention to this field and begin to study how to realize the upgrading of global value chain in China.This paper,different from previous studies by other scholars,starts from the perspective of bidirectional FDI to explore the influence of bidirectional FDI interactive development level on GVC upgrading in China's manufacturing industry.First embarks from the bidirectional interactive effect of FDI to analyze its impact on China's manufacturing industryglobal value chain of the mechanism,and then choose Chinese manufacturing industry in 2004-2014 panel data,measure RCA index to judge the subdivision industry division of labor status in the global value chain,the two-way interaction of FDI of China's manufacturing industry development level,to join the degree of opening to the outside world,industry scale,capital labor ratio and degree of industrial concentration variables to construct panel data fixed effects model to carry on the empirical analysis,Finally,it is concluded that the degree of two-way FDI interaction,the degree of opening-up,the degree of industrial agglomeration and the ratio of capital to labor have different significant positive effects on the GVC upgrading of China's manufacturing industry,while the industry scale has no significant effect on the GVC upgrading.In view of this,this paper puts forward some suggestions,such as paying attention to the coordinated development of "going-global strategy and bringing-in strategy ",strengthening the development of service industry,perfecting and optimizing the mechanism of market environment,increasing the degree of industrial agglomeration and opening wider to the outside world.