Study On The Bilateral Trade Efficiency Between China And The Indo-china Peninsula Countries

China-Indochina Peninsula Economic Corridor is one of the six economic corridors of the“Belt and Road”.It relies on central cities along the economic corridors,with railway and highway as the carrier and link and the construction of personnel,logistics,capital and information as the foundation.It tries to explore new strategic channels and spaces and accelerates the formation of regional economic communities with complementary advantages,regional cooperation and common development.The bilateral trade efficiency and its influencing factors between China and the Indo-China peninsula countries under the background of China-Indochina Economic Corridor are of great significance.This paper will try to solve the above problems and provide an empirical basis for theoretical policy suggestio’ns by one-step analysis of the stochastic frontier gravity model,with the panel data of China and the Indo-China peninsula countries from 2003 to 2017.First of all,under the background of the China-Indochina Peninsula Economic Corridor,this paper sorts out relevant literature and theoretical basis,analyzes the trade status and growth of bilateral trade and the trade structure,and analyzes the factors affecting bilateral trade.Then,based on the core variables of the traditional gravity model,we expand more natural factors affecting trade,sets up the stochastic frontier gravity model by using Frontier 4.1 to carry out a one-step regression to measure the trade efficiency between China and the Indo-China peninsula countries,and set up trade efficiency model to analyze the factors affecting the trade non-efficiency items.Finally,based on the empirical analysis,this paper tries to put forward suggestions for the development of trade between China and the Indo-China peninsula countries under the background of the China-Indochina Peninsula Economic Corridor.According to the empirical results,China’s GDP,the GDP and population of the Indo-China peninsula countries,the common official language have a positive effect on the trade flow,while the China’s population,the per capita GDP gap have a negative effect,and the distance and the inland environment have little effect;The trade efficiency between China and the Indo-China peninsula countries has generally fluctuated and the trade inefficiency has been significant;The narrowing of the differences in indexes such as Political Stability and Absence,Voice and Accountability,Financial Freedom,as well as becoming a WTO member and becoming a CAFTA member,have a significant benefit to the realization of trade potential,while the narrowing of the differences in indexes such as Government Effectiveness,Monetary Freedom,Trade Freedom and Investment Freedom is not conducive to the improvement of trade efficiency.This paper attempts to put forward suggestions for the trade development between China and Indo-China peninsula countries.We will maintain steady economic growth and actively promote the economic development of the Indo-China peninsula countries;strive to optimize the bilateral trade structure with the Indo-China peninsula countries;continue to improve transportation infrastructure and enhance regional connectivity;improve the quality of financial development and promote financial support for the development of bilateral trade;gradually develop the advantageous industries in bilateral trade due to the national conditions.