The East coastal zone is China’s most important area which engages in international competition and cooperation,and its economic development is now influenced by international factors more and more.The Bohai area,which including Beijing,TianJin,Liaoning,Shandong,and Hebei,is the north part of the east coastal zone.This paper analyses the influences of various external factors,such as geo-economies,international trade,foreign direct investment on the Bohai region’s economic development and makes some proposals of policy-making.1.Regional background and international,domestic environment.Strategic position of the Bohai Sea Rim will be improved gradually.By 2000,it will become the most important strategic economic region and its importance will be superior to the Yangtze River Delta and the south east coastal area because of the following reasons.(1)Japanese economic strategic points will be moved from north America and EEC and south east Asia,where are nowadays Japan’ most important area of investment and foreign trade,to the Bohai Region and Far east area of Russia by 2000.(2)Japanese and south Korean investors always take cities and provinces in the Bohai area as their favorable location when they evaluate the investment environment of the related provinces of China.(3)After Chinese currency(RMB)can be exchanged freely,the location choice of American investment will move from south China to north China.(4)A new way of international cooperation for the Bohai Area has been opened after DPR Korea open its door to outside in a limited way.2.The main characters and problems of international economic linkage and cooperation in the Bohai Rim are its low level of industrial structure and export-import structure.The main export products are low-value added which include textile.raw material,agricultural products,arts and crafts,mechanic and electronic products,whereas the imported products are mainly high value added products,such as mechanic equipments and electronic products.3.To improve the position of the Bohai rim in international division,following industries should be taken as the key industries to develop:communication equipments,computer and micro-electronics,motor vehicles,office equipments,chemical engineering,new energy and materials,and some others.A state export-import bank should be established to help the industries to develop.