Expanding Trade in Services: Policy Recommendations for Shandong Province

In order to improve its foreign trade development pattern, China is striving to expand foreign trade in services. Competition to expand local shares among the Chinese provincial regions is fierce. The paper is to provide policy recommendations for Shandong province to win this competition. Based on an analysis of the current features of world trade in services, the author examines the development of service trade in Shandong province, and provides policy recommendations for solving the problems faced by the region. Analysis shows that the share of trade in services in world trade is expanding and offshore service outsourcing is an important channel for this expansion. As a developed coastal province, Shandong is well positioned to take advantage of this development. Shandong should speed up development of service industries, strengthen policy support and establish cross-department coordination and promotion mechanism for trade in services, enhance introduction and cultivation of related talents, implement brand strategy and foster leading enterprises, and develop offshore service outsourcing industries.