Abstract:In recent years, unbalanced development of China's foreign trade has been the focus in rebalancing global economy. Under this background, studies on the reasons of unbalanced development of China's foreign trade has aroused many economists' interest. From perspective of intra-product specialization, this paper establishes the econometric model analyzing the determinants of China's unbalanced foreign trade development, and carries out empirical analysis. The results show that increase of China's input imports and inflow FDI are the main determinants of China's unbalanced foreign trade development, but so called under-evaluation of RMB is not. Accordingly, this paper argues that China’s involvement into intra-product specialization system with characteristic of using FDI to act as export platform for MNCs is the fundamental reason for China's unbalanced foreign trade development. This determinants will not change in short run, so unbalanced development of China's foreign trade will continue for long time, and more effective measures easing China's unbalanced foreign trade development should be in terms of inward FDI policy. China enterprises should go globally and cultivate China's advanced factors.