Abstract:Exploring the intermediate input imports has a profound impact on China’s industrial policy adjustment in the next stage. From a practical point of view, the geographical agglomeration of enterprises has a dual characteristic. To clarify the mechanism by which import geographical agglomeration enhances the export sophistication, the article uses development zones as geographical agglomeration units and determines the park where the enterprise is located by positioning its longitude and latitude. The article mainly explores the evolution path of enterprises and the increase in export sophistication from three different geographical agglomeration modes: import agglomeration of the same products, import agglomeration of related products, and import agglomeration of differentiated products. The results indicate that: 1) In terms of geographical agglomeration mode, the same product import agglomeration only has an effect in the early stages of economic development. The agglomeration of related product imports and differentiated product has positive impact on export sophistication, but the agglomeration of related products can easily form a low-end lock-in. 2) In terms of geographical agglomeration evolution, the same product import agglomeration enhances export sophistication by reducing information search costs and generating regional scale effects in the early stages of enterprise development. However, enterprises in the mature stage need to break free from the constraints of regional homogenization and further enhance export sophistication through related and differentiated product import agglomeration. Otherwise, there are significant differences in the development models of different regions in China. Developed region enterprises mainly rely on differentiated product import agglomeration to enhance export sophistication, while catch-up regions still enhance export sophistication through learning and imitation. 3) In terms of geographical agglomeration mechanism, import agglomeration of the same product mainly enhances export sophistication by reducing the price of import inputs through information transmission mechanisms, while import agglomeration of related and differentiated products enhances export sophistication through promoting import diversification, which also alleviates trade uncertainty shocks. With the steady development of the Chinese economy, the diversity of imports has become a core element of enterprise development. Creating a spatial agglomeration form where upstream and downstream industries rely on each other and have core competitiveness is a breakthrough in the high-quality development of Chinese enterprises. Based on this, the following policy suggestions are proposed: further improve China’s open policy, actively expand imports, and open up a new situation of opening up to the outside world; further improve the inter industry collaboration and innovation system, improve the integrity of the industrial chain and supply chain, and strengthen the support capacity of the industrial chain for domestic systemic circulation; actively break down the administrative barriers between regions, promote the free flow of resources and factors, guide the information exchange between enterprises in different regions, give play to the spillover effects of technology, innovation, management, etc., and lay a good market foundation for improving the technological relevance of industrial spatial agglomeration.