Abstract：Actually, the research of Yemeni trade relation with China is really deep  work, for account of reasons such as a long history of both countries, silks roads, friendly relationships and develop ambitiousness. But the most modern published documents were rare in comparison another Middle East countries. However, a Chinese economy considered as a very branched and complicated system which attract a lot of researchers to deal with this phenomenon. So, because this work was achieved during a very limited time and the recent war in Yemen, it hasn’t the full opportunity to study the long trade history between Yemen and China. Therefore, the work here paid attention on the trade balance since 2009 to 2014 because during these years the trade balance between both countries was developed interestingly. So, the data of mutual altered products during study period were concerned and then analyzed to present the preferred products imported and exported through this time and analysis the size of money consumed between both of them. Moreover, the Yemen basic data and economy chances were presented to express an interesting opportunities in the future.

Here, in this project trade balance and the most alternative preferred products between Yemen and China since 2009 to 2014 were concerned, the first chapter induced background of the topic issue and some international trade concepts. Then definitions of favorable trade products, unfavorable, balance of the trade, how trade contributes the balance, and the measurements of trade balance were covered. Also, the factors affecting trade balance and most of researches related for our topic were introduced. Finally, some details about the background of Trade Corporation between Yemen and China were stated and then project aims were presented. The second chapter introduced some details about famous theories, research philosophy, and study area. Later third chapter concluded the collected data and analyzed them during the study period. The fourth chapter explained the root of  data presented in the previous chapter and introduced some information to interpret results, and then the general conclusion was expressed the importance of this results  and recommendations upon the final findings. This study represented valuable trade relationship between Yemen and China and focused on some important information that needs to be investigated deeply to find some findings that could open new horizons of international trade development between both Yemen and China in energy source and human  civilization sources.

Keywords:  International trade, Trade balance, preferred products, Yemen, China

Table of Content

1 Background and literature reciew 1

1.1 Introduction 1

1.2 International Trade and trade balance Concepts 2

1.2.1 Favorable Trade Balance 3

1.2.2 Unfavorable Trade Balance 4

1.2.3 Balance of Trade vs. Balance of Payments 4

1.2.4 How the Trade Balance Contributes to the Balance of Payments 5

1.2.5 Measurements of balance of trade 6

1.2.6 Factors that can affect the balance of trade include. 6

1.2.7 Trade balances effects upon their nation's GDPs 7

1.2.8