Extractive industry which provides energy and raw materials for every other industry,is fundamental to the economy. The international competitiveness of China extractive industry is weak. The import of the extractive products is more than exports,and the trade deficit is increasing year by year,resulting in the persisting decline of the competitiveness. All kinds of metal ores,crude oil,and natural gas almost have only imports,no exports. The competitiveness of unagglomerated coal,the formerly advantage product,is also falling fast due to government's coal export policy adjustment. Only natural abrasives (SITC277),other crude minerals (SITC278),and coke and semi-cokes of coal,of lignite or of peat,retort carbon (SITC325) still have some competitive advantage at present. Although China is one of the largest energy producer,our energy reserve is very low. Our energy will soon be exhausted,resulting in the high dependence on foreign supply of most mineral products. The foreign direct investment of China's extractive industry has significantly grown in recent years. The annual flow of foreign direct investment presents an overall upward trend,but the proportion in non-financial sectors is decreasing. The stock of foreign direct investment of China extractive industry still has a big gap with America and other rich-resource countries. The labor productivity of China extractive enterprises has significantly rised these years,which is now higher than the average level of all industrial enterprises. <<