earticle

영어

The object of this paper is to analyse the current state and determinants of intra-industry trade(IIT) in the Korean and Chinese automotive industry. The results of analysis are as follows. In case of both countries, the trade and IIT of automotive industry is consistently getting higher since 2000. But the level of IIT is not so high. And the analysis results on determinants of IIT in both countries are very interesting. In China, the independent variable which has very high correlation with IIT index is SY(the economic size of both countries). In case of Korea the independent variable which has the most highest correlation is Dist(distance between nations). Therefore, we can expect that the IIT of two countries' automotive industry will develop further after the China-Korea FTA is in force.