Study on the Trade Efficiency of China's High-Tech Product Exports to India

Abstract

Since joining the WTO in 2001, China has attached more importance to the development of high-tech products and actively advocated entrepreneurs to establish high-tech product manufacturing enterprises to accelerate the industrial upgrading of high-tech products in China and seek foreign trade. As India is an important destination for China's high-tech products to expand trade, what are the factors influencing China's export trade of high-tech products to India? Based on this, this paper selects the relevant data of 29 major trading partner countries from 2005-2020 to empirically analyze the main influencing factors of China's high-tech products export to India. The results show that the economic size and population size of China and the trading partner countries are positively influenced, and the geographical distance is inversely influenced, while the level of R&D, trade freedom, investment freedom, and institutional improvement will weaken the trade inefficiency and thus promote the export of Chinese high-tech products.