After experiencing a slowdown for nearly two years, China’s exports have picked up for the fifth consecutive month. The country’s exports grew by 8.7 per cent to $ 308 year-on-year in August, according to China’s customs agency.
“The strong export performance and trade surplus is favourable to economic growth in the third quarter and whole year,” said a macroeconomic researcher at China Everbright Bank, Zhou Maohua, in a Reuters report. He added that given the current global economic and political landscape’s complication, China’s exports face a lot of challenges.
The growth recorded in August is higher than Reuters’s projected rate of 6.5 per cent year-on-year. However, imports softened as it grew by only 0.5 per cent. The Reuters poll prediction was 2 per cent.
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The growth is likely followed by China’s exports to its major trading partners like the U.S., European Union (EU) and Association of Southeast Asian Nations (ASEAN).
China’s imports from the US marked a 12 per cent increase in August compared to the August last year.
China’s exports with Russia grew by 10 per cent, while imports fell by 1 per cent.
In terms of products, exports of cars and ship vessels surged by 40 per cent in August. Exports of smartphones jumped by 6.7 per cent. Suitcase exports grew by nearly 9 per cent.
“Outbound shipments are likely to remain strong in the coming months. Admittedly, more barriers are being erected,” said China Economist at Capital Economics, Zichun Huang in Reuters report.
