A Study On The Potential And Countermeasures Of Bilateral Trade Between Laos And China

China's ASEAN China free trade one in 2013 "one belt,one road" initiative were introduced to the development of bilateral trade in 2010.The bilateral trade and trade cooperation has been unprecedentedly developed,and trade cooperation has entered an in-depth exchange.However,there are few literatures on bilateral trade relations between Laos and China,lacking systematic research.In this context,it is of great practical significance to study the complementary characteristics and bilateral trade potential of the two countries and actively promote the healthy development of bilateral trade between Laos and China.Under the guidance of practical background and significance,based on literature and trade theory,this paper first reviews the development history of bilateral trade between Laos and China,describes the current situation of bilateral trade and its contribution to their respective economies,and deeply understands the development characteristics of bilateral trade between the two countries.Secondly,it analyzes the problems existing in the bilateral trade between Laos and China,such as the low added value of Laos' export products,the low degree of Laos' opening to the outside world,the backward transportation facilities and the low administrative efficiency of Laos.Then,the paper analyzes the complementarity of bilateral trade between Laos and China by using the index of intra industry trade and the index of trade combination,and finds that the bilateral trade between Laos and China has strong complementarity characteristics,and further uses the trade gravity model to construct a trade potential equation including total trade,export and import,and measures the trade potential between China and Laos,and finds that Laos and China have strong complementarity China's trade belongs to the potential development type.Finally,in view of the trade potential problems between the two countries,the paper puts forward countermeasures to promote the development of bilateral trade between Laos and China,including adjusting the industrial layout of Laos,strengthening regional cooperation and exchange,accelerating the construction of transportation facilities,improving the efficiency of trade departments,etc.,in order to enhance the complementary advantages of bilateral trade between the two countries and further promote the healthy development of bilateral trade between Laos and China.