Research On The Impact Of Trade Facilitation On Trade Flows Between China And Vietnam

Currently,Vietnam has become one of the fastest growing countries in ASEAN and a focus of global trade and investment as the result of its high average economic growth rate.China takes the advantage of its strong comprehensive economic strength as well as its unique location advantage and has become Vietnam’s largest trading partner.However,as the space for trade growth between China and Vietnam shrinks gradually,we need to find the factors that affect the trade facilitation between the two countries,analyzing the current situation of China and Vietnam in international financial services,customs environment,trade policy,e-business,infrastructure construction and other aspects,finding out the problems in these aspects of Sino-Vietnamese trade,and putting forward appropriate solutions to these problems.This paper also constructs an evaluation system of trade facilitation level,which consists of 20 indicators.The data in the system include not only the data of China and Vietnam,but also those of other ASEAN countries to make a comparison.The numerical value can show the level of trade facilitation between China and Vietnam more intuitively.In this paper,the principal component analysis method is used to eliminate the cross-impact of data,determine the weight of each index,and finally get the level of comprehensive trade facilitation.The core of this study is the relationship between these trade facilitation factors and trade volume between China and Vietnam.In the fifth part,the author uses the extended gravity model and adds five first-level indicators to the model,to find out the relationship between these indicators and trade volume,and to calculate the trade potential of each country by the ratio of real trade value and fitting values.