China’s Import Potentials For The Belt And Road Initiative

The "Belt and Road" initiative is a new model of regional cooperation proposed in the context of economic globalization.It’s inevitable requirement for the new round of China’s opening up,and it is also the necessary way to strengthen the trade relationship between china and countries along the route.China’s increase imports from the "Belt and Road" not only stimulate domestic economy but also promotes the Belt and Road Initiative.Therefore,how to minimize or eliminate factors that hinder the level of China’s import and fully explore the potential of import with the "Belt and Road" has become the focus of China’s trade development.First of all,it analyzes the current situation of China’s import from "Belt and Road",Starting from the two perspectives of total import volume and import structure,the study found that China’s import levels are relatively high and rate growing fast.But the structure of imported goods is not balanced and concentrated import primary stuff,the demand for final goods both in capital and consumer are relatively lower.At the same time,the different regions of "Belt and Road" have a large different dependence on china’s type of product markets.Secondly,the concept of stochastic frontier was introduced into the gravity model,and constructed the stochastic frontier gravity model to analyze the import efficiencies and potentials from countries along the Belt and Road.The factors affecting the import are divided into natural&manmade factors and analyzed separately.Overcoming the possible deviation in the traditional gravity model.The empirical results show that the potential role of the "Belt and Road" initiative to promote trade flows has not been fully used.China’s import efficiencies along the "Belt and Road" countries or regions is generally low.The potential needs further development;It is more sensitive to changes in the economic development level,transportation costs,and transaction costs;in addition,whether the two countries sign FTA,infrastructure quality of exporting countries,institutional environment,china’s OFDI,etc.are the major factors affecting China’s import potential.In order to increase the efficiencies of import,China should use its advantages to improve the level of trade facilitation in countries along the route,improve infrastructure construction,expand China’s OFDI scale,and adopt different trade policies for different countries or regions.