Research on the Synergistic Development of China's Two-Way Internationalization under the 'Dual Circulation' New Development Pattern

Under the "dual circulation" development paradigm, China faces significant opportunities and challenges in promoting mutual reinforcement and coordinated growth between its domestic and international circulations. This paper first reviews the evolution of the dual-circulation concept and the scholarship on two-way internationalization. Through macro-level data analysis and in-depth case studies of exemplar firms, it then elucidates the current characteristics and dynamics of interaction between China's domestic market and external markets. From the dual perspectives of supply-side structural reform and a shifting global economic environment, the study identifies key constraints — such as mismatches in market demand, insufficient policy coordination, and risks in overseas investment. It then proposes building an integrated institutional framework linking domestic and international circulation, alongside pathways to foster collaborative innovation among enterprises. The findings suggest that by refining cross-border investment policies, strengthening financial support and risk-alert mechanisms, and encouraging coordinated innovation across industry chains, China can enhance its firms' competitiveness and sustainability within international two-way circulation. Finally, the paper outlines detailed policy implementation considerations and directions for future research, offering both theoretical insights and practical guidance for deeper integration of domestic and international circulations.