Structural analysis of Sino-US Trade

United States and China are the world’s largest and second-largest economies, and the world's largest and second-largest countries of trade as well. How will the Sino-US trade policy be adjusted and the trade structure be improved have always been a matter of concern. Firstly, a periodic review of the development of Sino-US trade is conducted in this paper. Then several empirical approaches, such as intra-industry trade analysis, comparative advantage analysis and export similarity analysis are adopted to analyze the latest statistics, in order to find out the compatibility and trends of Sino-US trade. The results calculated are used to demonstrate the difference of import and export structures between two countries, why China has a surplus in trade in goods, but a deficit in trade in services and what will this lead to in the future. The study shows that the basic methods to optimize the structure of Sino-US trade are advancing technologies, stimulating domestic demand and accelerating the development of services.