[dissertation1]
This dissertation aims to compare the economic relationship between China and North Korea with those between China and its other bordering countries. The purpose is to analyze the reasons for any differences in these relationships, v...
[dissertation1]
This dissertation aims to compare the economic relationship between China and North Korea with those between China and its other bordering countries. The purpose is to analyze the reasons for any differences in these relationships, viewing the China-North Korea economic relationship as one among China's various economic interactions with its neighboring countries.
To achieve this, the study examined and compared the GDP of China and its 14 neighboring countries, the foreign trade between China and these countries, and China's direct overseas investment in 13 of these countries from 1998 to 2015. An empirical analysis using the gravity model was employed to verify the similarities and differences identified in the statistical data comparison. This model also analyzed the factors influencing foreign trade and direct overseas investment, thereby elucidating the causes of the differences between China-North Korea economic relations and China's relations with other neighboring countries. Additionally, the study estimated the projected trade volume between China and its neighboring countries and China's projected investment volume in these countries, analyzing the potential for the development of China-North Korea economic relations.
The comparison of statistical data yielded several key findings. First, the GDP of China's bordering countries, including North Korea, increased along with the growth of China's GDP. From 1998 to 2015, the highest GDP growth rates were observed in Myanmar, Laos, Vietnam, and Mongolia, while North Korea's GDP growth rate was the lowest among the 14 countries at 58.5%. Second, in line with the expansion of China's foreign trade, the scale of foreign trade between China and its 14 bordering countries also increased. Trade with Russia, India, and Vietnam grew rapidly, while trade with Kazakhstan, Pakistan, and Myanmar saw a more gradual rise. However, China-North Korea trade showed only a marginal increase, ranking 11th among the 14 countries in terms of growth rate and scale compared to 1998. Third, the foreign trade items between China and its bordering countries were predominantly low added-value commodities such as primary products. North Korea's export items were mostly limited to primary products or labor-intensive items related to processing trade, indicating a stagnant qualitative structure. Fourth, China's direct overseas investment in 13 of its bordering countries increased, except for Afghanistan, Kazakhstan, and Pakistan. China's investment in North Korea also showed an upward trend, but at a lower level compared to other neighboring countries, ranking 11th and 9th in terms of the total amount and growth rate, respectively, among the 13 countries.
The findings confirmed that as China's economy rapidly grows, the GDP of its bordering countries, foreign trade between China and these countries, and China's foreign direct investment in these countries also increase. Notably, the economic relationships between China and other bordering countries, especially those in ASEAN and SCO regions, have developed rapidly in terms of GDP, foreign trade, and foreign direct investment. In contrast, the economic relationship between China and North Korea, including North Korea's GDP, Sino-North Korean foreign trade, and China's foreign direct investment in North Korea, has grown but remains at the lowest level among China's bordering countries, showing distinct quantitative and qualitative differences.
The empirical analysis using the gravity model revealed that China's GDP and the GDP of its bordering countries have a statistically significant impact on foreign trade between China and these countries, as well as on China's foreign direct investment. The concurrent economic growth resulting from the increase in China's GDP has influenced the GDP of neighboring countries, foreign trade, and China's direct investment. Furthermore, the participation of bordering countries in regional communities, along with factors such as public services, government efficiency, and corruption management in the investment-receiving countries, were found to have significant impacts on China's foreign direct investment. These factors contribute to the differences in economic relationships between China and North Korea compared to other bordering countries.
The study also estimated the potential for future development in Sino-North Korean economic relations, finding that the predicted trade volume and investment volume have higher potential compared to other neighboring countries. This suggests that with positive changes in the political and economic situation, there is a high potential for substantial development in Sino-North Korean economic relations.
[dissertation2]
This dissertation analyzes the foreign economic relations of China's northeastern and western regions, particularly focusing on the border areas within these regions, based on the Chinese government's policies of external openness and regional development strategies. It aims to identify and compare the commonalities and differences in the economic relations of these regions and explore the underlying reasons for these differences.
The comparative analysis reveals that both the northeastern and western economic regions, including their border provinces, autonomous regions, prefecture-level cities, and autonomous prefectures, achieved high growth rates in foreign trade volume and actual utilization of foreign capital during the 10th to 13th Five-Year Plan periods. This growth can be attributed to the continuous high growth of the Chinese economy. The increase in China's GDP positively influenced the overall foreign trade volume and actual utilization of foreign capital. Consequently, the growth in foreign trade volume and actual utilization of foreign capital in these regions during the specified periods can be interpreted as being influenced by China's GDP and regional GRDP growth. The Chinese government's promotion of external openness policies and regional development strategies, along with increased fixed asset investments such as infrastructure construction in border areas, drove GRDP growth in these regions, leading to increased foreign trade volume and utilization of foreign capital.
However, the northeastern and western regions displayed differences in terms of average growth rates of foreign trade volume and actual utilization of foreign capital during the 10th to 13th Five-Year Plan periods. The northeastern region and its border areas experienced relatively lower growth rates compared to the western region and its border areas. The rate of change in foreign trade volume and actual utilization of foreign capital from the 10th to the 13th Five-Year Plan periods was higher in the western region. Additionally, after the 13th Five-Year Plan period, the northeastern region saw a decline in foreign trade volume and utilization of foreign capital, whereas the western region continued to experience growth. The proportion of foreign trade volume and actual utilization of foreign capital in the northeastern region relative to China's total decreased, while the western region's proportion increased.
The differences in foreign economic relations between these regions can be attributed to several factors. First, the policy of external openness has been a significant influence since China's Reform and Opening-up, particularly under the Belt and Road Initiative during Xi Jinping's administration, which has bolstered GRDP growth in the western region. The northeastern region, however, received relatively less attention from these policies and has faced economic stagnation, known as the 'Northeast Phenomenon.' Second, regional development strategies have varied in effectiveness; the Western Development Strategy has driven significant growth in fixed asset investment and GRDP in the western region, while the Northeast Revitalization Strategy has been less successful due to structural rigidity, lack of innovation, and financial difficulties. Third, the strengthening of cooperation with regional communities and member states, such as ASEAN and the Shanghai Cooperation Organization (SCO), has been more advantageous for the western region, which plays a pivotal role in these networks. In contrast, the northeastern region has suffered from the instability and isolation associated with North Korea.
The limitations of China's external openness policies and regional development strategies have also been evident. The focus on the western region has further widened the economic gap between the northeastern and western regions. The central and local governments' efforts to address regional imbalances have inadvertently exacerbated disparities.
In summary, this dissertation compares the economic relationship between China and North Korea with that of China's other bordering countries, analyzing the causes of any differences from the perspective that the China-North Korea economic relationship is one among China's various economic relationships with its neighboring countries. Through empirical analysis using the gravity model, it examines the influences of GDP and regional cooperation on foreign trade and direct overseas investment, ultimately suggesting that political and economic changes could significantly enhance Sino-North Korean economic relations.
[dissertation3]
The purpose of this dissertation is to compare the external economic relations between China and its border regions with North Korea and Vietnam, focusing on foreign trade and border ports. This comparative study spans the period before and after North Korean sanctions from 2001 to 2020, aiming to analyze the similarities and differences, and the underlying causes of these differences.
Firstly, the dissertation highlights the significant quantitative growth in trade volume with both North Korea and Vietnam in China's border regions from 2001 to 2015. This growth is attributed to China's sustained high economic growth. However, the comparison reveals qualitative differences in development trends, trade proportion, forms of external trade, changes in export commodities, and material and personnel exchanges at border trade ports.
The trade volume with North Korea experienced substantial fluctuations due to the imposition of sanctions, resulting in a sharp decline post-2016. In contrast, trade with Vietnam has shown sustained high growth since 2001. This indicates a stable and progressive economic relationship between China and Vietnam compared to the volatile relationship with North Korea.
Proportionally, the trade with North Korea in China's border regions accounted for a larger share of China's total trade with North Korea compared to Vietnam. However, the overall external trade in China's border regions is more significantly represented by trade with Vietnam.
The forms of external trade also differ; the border trade with North Korea has seen an increase in processing trade for exports. Meanwhile, in the regions bordering Vietnam, there is a noticeable rise in processing trade for both imports and exports, influenced by the sanctions against North Korea from 2016 onwards.
Regarding export commodities, the border regions with North Korea remain focused on primary products like minerals and processed items such as textiles and wigs. This has led to a stagnation in qualitative growth. On the other hand, the regions bordering Vietnam, particularly in the Guangxi Zhuang Autonomous Region, have transitioned from labor-intensive products to technology-intensive exports, including electronics and machinery.
Material and human exchanges through border trade zones are less significant in the border regions with North Korea due to limited attention from the Chinese government and external constraints like sanctions. Conversely, the border regions with Vietnam have seen increased government efforts, fostering deeper economic relations and continuous growth in material and human exchanges.
The observed differences are analyzed through three primary factors: Chinese policies, bordering country characteristics, and regional community dynamics. China's Belt and Road Initiative (BRI), Western Development Strategy, and Northeast Revitalization Strategy play crucial roles. Regions bordering Vietnam, such as Guangxi and Yunnan, are pivotal to the BRI and Western Development Strategy, leading to substantial infrastructure investment and economic cooperation. In contrast, regions bordering North Korea have been marginalized, with the Northeast Revitalization Strategy yielding limited results due to sanctions and North Korea's closed economic policies.
North Korea and Vietnam differ in their economic systems, natural resources, labor force, and border region development, significantly influencing their trade structures with China. Additionally, regional community dynamics, such as ASEAN's promotion of economic integration with China, have driven qualitative growth in China's external economic relations with Vietnam. The active promotion of China's BRI and Global South Strategy strengthens cooperation with ASEAN members, expanding the economic relations of the border regions with Vietnam. In contrast, the economic relations with North Korea are restricted by a lack of integration and trade specialization, leading to limited qualitative changes.
In conclusion, this dissertation underscores the complexity and multifaceted nature of China's border region economic relations with North Korea and Vietnam. While both regions have experienced growth, the qualitative differences highlight the impacts of international sanctions, national policies, and regional integration initiatives, providing a comprehensive understanding of the economic dynamics at play.