Study On Trade And Investment Effects Of FTA Between China And Singapore

With the gradual close economic and trade relations among regions,the pace of building a free trade zone radiating to the world has been accelerated.China-Singapore FTA(China-Singapore)is the first FTA established by a single ASEAN country and China,which is of great significance to the future construction of China's FTA.The purpose of analyzing the trade and investment effects of China-Singapore FTA is to promote the development of China-Singapore economic and trade cooperation,expand the economic and trade relations between the two countries,and ultimately improve the degree of China's opening to the outside world.Firstly,the paper analyizes the current situation of bilateral trade between China and Singapore,and taking the import and export volume of China and Singapore as a sample from 2000 to 2017,this paper chooses four indicators,such as trade intensity index,to study the trade situation between China and Singapore,and draws the following conclusions:Firstly,trade between China and Singapore is frequent,but there are differences in their respective export comparative advantage industries.Therefore,the trade between the two countries is highly complementary,and intra-industry trade is the main form of bilateral trade.Based on the analysis of the current situation of China-Singapore investment,it is found that the investment exchanges between China and Singapore are increasing year by year,but Singapore has more investment in China as a whole;the investment between the two countries is mainly mergers and acquisitions;the investment industry between China and Singapore is mainly financial insurance industry and trade industry;and the investment industry of Singapore to China is mainly manufacturing industry.Secondly,through a comparative study of China's investment in Singapore and China's investment in ASEAN,it is found that bilateral investment between China and Singapore accounts for the highest proportion of total bilateral investment between China and ASEAN.On this basis,based on the synthetic control method,using the data of China's import and export trade to 67 countries from 1992 to 2017,China's direct investment to 76 countries from 2003 to 2016 and China's absorption of 51 countries'direct investment from 1999 to 2016,the paper analyses and evaluates the impact of China-Singapore FTA on China-Singapore trade in goods and investment,and finally draws the following conclusions:The new FTA promotes the development of China-Singapore trade in goods;the China-Singapore FTA has a creative effect on China's direct investment in Singapore and China's attraction of Singaporean directFinally,in order to promote further economic and trade cooperation between China and singapore,the paper puts forward revelent policy suggestions.First,China and Singapore should continuously optimize the structure of trade exports,increase the proportion of trade in services,and promote the rapid development of trade in services between China and Singapore;second,China and Singapore should strengthen investment Third,we should constantly match the China-Singapore FTA with the world's high-standard FTA to promote the better and faster upgrading of FTA,and lay the foundation for China to sign and upgrade other FTAs in the future.