Influence of China¡¦s Trade Protective Policies on
Export of Taiwan¡¦s Flat Stainless Steel and the Response Strategies
Abstract
The export of Taiwan¡¦s flat stainless steel has been highly concentrated in China. However, China has expanded its domestic production capacity of flat stainless steel and reduced import volumes in recent years. Under such a background, this paper probes into the influence of China¡¦s trade protective measures on the competitive ability of Taiwan¡¦s products in Chinese market and submits some response strategies. Survey data from both the flat stainless steel industry (including upstream factories, midstream export agents, and downstream factories) in Taiwan and China were collected and analyzed. Interviews with experts, analysis of practical experiences, and literature on the subject were also adopted to induce the results as follows:
1. The four major variables included in this study are background, trade protective policy (consisting of two factors: the past temporary protective measures during 2002~2004 and the potential trade protective policy in the future), market influence (in pure domestic market and proceed and reexport) and competitiveness index.
2. The following variables show statistically significant correlation (influence) between them:
(1) ¡§background¡¨ and ¡§trade protective policy (of the past safeguard and in the future)¡¨; ¡§background¡¨ and ¡§market influence in pure domestic market¡¨.
(2) ¡§trade protective policy of the past safeguard¡¨ and ¡§market influence in pure domestic market¡¨.
(3) ¡§trade protective policy in the future¡¨ and ¡§pure domestic market¡¨; ¡§trade protective policy in the future¡¨ and ¡§competitiveness index¡¨.
(4) ¡§market influence in proceed and reexport¡¨ and ¡§competitiveness index¡¨
The following variables don¡¦t have any statistically significant correlation (influence) between them:
(1) ¡§background¡¨ and ¡§competitiveness index¡¨.
(2) ¡§trade protective policy of the past safeguard¡¨ and ¡§market influence in proceed and reexport¡¨; ¡§trade protective policy of the past safeguard¡¨ and ¡§competitiveness index¡¨.
(3) ¡§trade protective policy in the future¡¨ and ¡§market influence in proceed and reexport.¡¨
(4) ¡§pure domestic market¡¨ and ¡§competitiveness index¡¨.
3. Different industries, structure, capital and operation revenue show no significant difference in the study results.
4. Competitiveness index = - 0.498 x trade protective policy in the future ¡V 0.404 x market influence in proceed and reexport.
5. According to the evaluation of the influence of China¡¦s ¡§trade protective policy of the past safeguard¡¨ and ¡§trade protective policy in the future¡¨ on Taiwan¡¦s competitiveness index, the results show that the total evaluation indexes are 0.078 and ¡V 0.619 respectively.
6. In general, most people feel that Taiwan¡¦s export of flat stainless steel to China will be significantly affected commencing from 2006.
7. In response to China¡¦s protective policy of the past safeguard (temporary protective measures), Taiwan business community took the following strategies in order:
(1) Shift and export to other areas
(2) Increase selling inside the Taiwan market
(3) Increase stocks in warehouses or quays in Taiwan, Hong Kong or China.
(4) Drop in production
To cope with the trade protective policies to be adopted by China in the future, some measures should be taken as follows in order:
(1) Shift and export to other areas
(2) Shift partial production to China
(3) Increase investments in China and adopt effective competitive strategies.
(4) Drop in production
8. The upper stream may increase vertical integration and investments; the middle and down stream may increase logistic path investment. As for diversification of export markets, the stainless steel industry should focus on increasing their markets in Asia, Europe, North America, and especially the areas with big potential demand for nickel.
Keywords: stainless steel, background, trade protective policy, market influence, competitiveness index, response strategy
| Identifer | oai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0802105-151219 |
| Date | 02 August 2005 |
| Creators | HAN-WEN, CHEN |
| Contributors | CHIN SHAN-NON, YING YUNG-HSIUNG, DIANA HWEIAN TSAI |
| Publisher | NSYSU |
| Source Sets | NSYSU Electronic Thesis and Dissertation Archive |
| Language | Cholon |
| Detected Language | English |
| Type | text |
| Format | application/pdf |
| Source | http://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0802105-151219 |
| Rights | not_available, Copyright information available at source archive |
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