The Relation between Transport Infrastructure and Trade

Abstract

This chapter discusses the impact of transport infrastructure on trades in the Chinese provinces directly affecting by “One Belt, One Road” initiative. That is why infrastructure is of significance in “One Belt, One Road” initiative and one of important purpose for initiative is to promote the unimpeded trade in China. In this article, authors analyzed the impact of railways and highways which are the key elements of transport infrastructure on total value of exports and imports in the Chinese inland provinces directly affecting by “One Belt, One Road” based on data from National Bureau of Statistics of China and from some articles related to “One Belt, One Road”. The conclusion is that railways and highways have strong correlation with trade and effects of elements of transport infrastructure are different among inland provinces affected by “One Belt, One Road”, and thus, this needs rational management of transport infrastructure in promoting trade according to provinces. This study can contribute to making decision related to ways of investment in infrastructure for ensuring purposeful TVEI in future under execution of OBOR.