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2112023()4519981999119991-3-10.8%-10.2%-3.6%1999372.77.9%WTO23WTO1198910001200-3008-9219981998200199890034120004743.08199931.5%2492.12199927.8%2250.97199935.8%2”“34…1120620001-6400021998425199853%3200141999119981.221998311095%1199221999103199912200022000810551212SKDCKD3()19934TNC10066120199850%12311996595770%30%199621231219998855%45%31199521992319995274199919995·1962626197472000968200039199921010200021120006212199931319995()991020002AbstractAsthedevelopmentofEconomicGlobositygoingfast,ChinaForeignTradetakesthemoreandmoreresponsibilities.Stateforeigntradeenterpriseexploredindifficulty.Theywanttoexploitaroadtosuccess.TheprocessingofExternalProcessingTradeisoneofthegoodtrials.I.ThebriefaccountofExternalProcessingTradeExternalProcessingTrademeansourenterpriseinvestmainlywithripetechnologyandfreeequipments,usingprocessingandassemblingmode,alsopromotingnationalequipments,technology,spareparts,rawmaterialtoexport.Itsfeaturesareasfollows:thesubjectofExternalProcessingTradeistheindustrialforeigntradecompanyorindustrialenterprise;TheinvestedindustryisthecomparativeadvantageindustryofChina;Themaininvestmodeisinvestedinkind;Theradicalfeatureisthatthecompanyorenterpriseneedgoabroadandproducethere;Theaimisdevelopingtheexportpotentialofourenterpriseswhichhavecomparativeadvantages,andexploitinternationalmarket.ThemodesofExternalProcessingTrade:Recourseoriented,whichusedthecheapandabundancerecourse;Marketoriented,whichbasedonthelargemarket;Freeequipmentsreused,whichinvestedbythefreeequipmentsofChina;Andadvantagetechnology&equipmentexport.ItisnecessaryforChinatodoExternalProcessingTrade.AftertheeconomiccrisisofEast-SouthAsia,itisseriousofChinaforeigntrade,andallkindsoftradebarrierrestrainChineseenterprisetoenterothercountries’market.Chinaforeigntradeshouldopenupanewfieldtofitforthissituation.Afterreformationinforeigntrade,stateforeigntradecompanylostthemonopolizationposition,withthisreasonandself-restriction,stateforeigntradecompanyneedtolookafternewmode.ExternalProcessingTradecanupgradethestateenterprise’sstructure,andoptimizestateeconomicstructureandalsopromotethenationaleconomic.ItisveryimportantforChinatodoExternalProcessingTrade.Ithasmadeanewgrowingpoint.Ithasacceleratedtheadjustmentofeconomicstructureandimpelledenterprisetojointheinternationalcompetition.Throughit,ourcountrycanbuildgoodrelationshipwithdevelopingcountries,andmakeadvantageineconomicfortwosides.II.ExternalProcessingTrade’sTheorystudyExternalProcessingTradeisbasisonthetheoryofRicardian’sComparativeCost.Thattheorystateanyoneoftwopartiesinthebusiness,ifanyoneproducesthecomparativeadvantagecommodities,thenexchange,hecangetmoreprofitthanbefore.Afterdevelopedbyotherpeople,thattheoryhavebecamethebasictheoryininternationaltrade.Nowthistheoryalsohasguidancefunction.Thefirstisbecauseofitscomparativeadvantage,ifdividetheworkandproduceasit,thecountrycangetmoreprofit.ForExternalProcessingTrade,weshouldselectindustrythathascomparativeadvantage,andinvestsubjectshouldbetheindustrialforeigntradecompanyorindustrialenterprise.Thesecondisbecauseithasbeentestedbydemonstrativeeconomic,whetherthecountrywhohasthehighproductivityornot,iftheydividetheworkandexchange,theycangetmoreproductsandprofit.Itletusthinkingofinvestedarea,wealsocanselectthedevelopedcountry.Thethirdisbecauseitrevealshowtodistributetheresourcereasonable.Sowhenweselectthearea,weshouldthinkabouttheLatinAmericaorAfrica,whichhaveenoughresources.Andthemainlyinvestmodeisexportingtheequipmentsandtechnology.Thefourthisbecauseitstatesthereciprocitybetweentwoparties.Sowecanusejointventureorindividualproprietor-ship.III.TheoperatingstepsofExternalProcessingTradeBasisontheexternalprocessingtradeitemofChangChunForeignTradeGeneralCorporation(CFTGCforshort),authorsummarizefourstepsofexternalprocessingtrade:(1)Thefeasibilitystudiedanditemapproved.Item’sselectionismainlydependedonthemarketingprospectandcomparativeadvantage,andalsoneedtotryforthepreferentialpolicy.(2)Managingmodeselection,itcanselectjointventure,cooperationorindividualproprietor-ship.CFTGChascooperatedwithaNigerian.Becauseofnoexperienceofwoodprocessing,CFTGCalsoselectedDunhuaForestBureauasapartner.(3)Buildfactory,theareashouldlocateinthesafeplacewhichhavepreferentialpolicyforinvestor.Andthatplacealsohaswellinfrastructure,abundanthumanrecourseandgoodmarket.CFTGCbuiltfactoryintheCalabarExportProcessingZoneandshippedtheequipmentsandsparepartsinOctober,1999.Assoonasadjustingtheequipments,CGTGCemployedsomelocalworkerandtrained.(4)Startprocessingandexport.Becauseofgoodquality,morespecificationsandinexpensive,theproductsisbestsellingandalsoexporttoEurope.IV.SomemattersneedtosolveDuringtheoperatingandmanagingofExternalProcessingTrade,weshouldpayattentiontosomemattersasfollowed:first,theguidingideologyofshouldcombinewiththesubjectofChinaforeigntradeandalsowiththeadjustmentofindustrystructure.Leadbytradeandbaseonproduction.Second,investareashouldlocateinthedevelopingcountrywhichhavefriendlyrelationshipwithChinaandgoodinfrastructure.Wealsofixpositionandadjustitdependonthem