Chinese exports rebounded in June despite shipping delays
In June, China’s exports and imports showed unexpected growth just as massive disruptions rocked southern China. This could be a sign of recovery from an economic downturn caused by delays at the Yantian port, an effect that has spread globally.
China’s General Administration of Customs on Tuesday released data showing that Chinese exports rose 32 percent from a year earlier in dollar terms, even more than the 28 percent gain recorded in May. It exceeded the expectations of economists, who had predicted a slowdown due to lockdown restrictions in southern China. During the same period, imports increased by 37 percent, also reversing an earlier forecast of 30 percent. However, that figure was lower than the 51% increase recorded in May year-over-year. In total, China had a trade surplus of $ 52 billion for June, down from $ 46 billion in May.
“The development of foreign trade will face a number of uncertain and unstable factors in the second half of the year, as the coronavirus is still spreading to several places around the world and the pandemic situation remains complex,” said Li Kuiwen, customs. administrative spokesperson.
However, Beijing still believes that the global macroeconomic situation is very volatile. Deputy Minister of Commerce Ren Hongbin said on Monday that the ministry would redouble its efforts to stabilize foreign trade and investment.
Some economists believe the trade rebound seen in June may have been caused by high commodity prices, as seen with iron ore prices and high freight rates passed on to consumers. In addition, the relentless appetite for Chinese products such as medical equipment and furniture could help explain the growth in exports.