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1、China'sprocessingtradeundergoingarapidtransformationProcessingtradereferstothebusinessactivityofimportingallorpartoftherawandauxiliarymaterials,partsandcomponents,accessories,andpackagingmaterialsfromabroadinbond,andre-exportingthefinishedproductsaft
2、erprocessingorassemblybyenterpriseswithinthemainland.Itincludesprocessingwithsuppliedmaterialsandprocessingwithimportedmaterials.Underprocessingwithsuppliedmaterials,theimportedmaterialsandpartsaresuppliedbytheforeignpartywhichisalsoresponsibleforsel
3、lingthefinishedproducts.Thebusinessenterprisedoesnothavetomakeforeignexchangepaymentfortheimportsandonlychargestheforeignpartyaprocessingfee.Underprocessingwithimportedmaterials,thebusinessenterprisemakesforeignexchangepaymentfortheimportedmaterialsa
4、ndpartsandexportsthefinishedproductsafterprocessing.Sincetheprocessingtradepolicywasimplementedinlate1970s,theprocessingtradeinChinahasbeendevelopinginasustainedandrapidmanner;thetotalvolumeofexportsandimportsintheformofprocessingtradeincreasedfromUS
5、$2.5billionin1981toUS$831.9billionin2006,upbynearly333times,anditsproportioninforeigntradeincreasedfrom5.7percentto48.6percent.TheDepartmentofMechanic,ElectronicandHi-TechIndustryoftheCommerceMinistryofPRCstatedthatwhatwasmoresatisfactorythananincrea
6、seinquantitywasthatastheprocessingtradedevelopedcontinuallyandrapidly,thetransformationandupgradingofprocessingtradehadbeenaccelerated.Moreandmoreforeign-fundedenterprisestransferredtheirprocessingandmanufacturewithahighertechnologylevelandalargerapp
7、reciationcontenttoChina;influencedbythetechnologyandmanagementspillovereffectsinprocessingtrade,moreandmoreChinesecompanieshadspeededuptheirtechnologyimprovementandindustrialupgrading.Theindustrialstructureinprocessingtradehasbeencontinuouslyoptimize
8、d.DuringtheTenthFive-YearPlanperiod,theexportvaluerealizedintheprocessingtradeofmechanicandelectronicproductsamountedtoUS$928.2billion,accountingfor70.7percentofthetotalprocessingtradeexportvalueand74.0%ofthetotalexportvalueformechanicandelectronicpr
