Worrying Economy: China’s trade performance worsens

Exports plunged 8.3% year-on-year to $195.10 billion while imports dropped 8.1% to $152.07 billion

SHANGHAI:
China’s foreign trade performance worsened in July with both exports and imports falling on an annual basis, customs said on Saturday, spelling more worry for the world’s second largest economy. Exports plunged 8.3% year-on-year to $195.10 billion while imports dropped 8.1% to $152.07 billion, it said in a statement on its website. The country still recorded a trade surplus of $43.03 billion, customs said, but gave no comparative figure. Separately, the agency said the trade surplus in yuan currency terms narrowed by 10 percent on the year. Exports are a key driver of China’s economic growth, while falling imports can indicate weak domestic demand. “China’s trade slump deteriorated further in July,” ANZ Banking Group said in a research note. As global growth moderates and commodity prices remain depressed, he said, it will be “unlikely” that China’s trade growth will pick up significantly in the remainder of the year.


Published in The Express Tribune, August 9th, 2015.

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