Explainer | China trade: 4 takeaways from September’s data as export decline ‘improved modestly’
- China’s exports fell for a fifth straight month in September, dropping by 6.2 per cent year on year, as shipments to major trading partners suffered declines
- Imports fell for the seventh month in a row after declining by 6.2 per cent year on year, to US$221.4 billion
1. Modest improvement in exports
“Export growth improved modestly compared with last month,” said Zhang Zhiwei, president and chief economist at Pinpoint Asset Management.
Exports to the Association of Southeast Asian Nations – China’s largest trading partner – contracted by 15.82 per cent last month, while September’s shipments to the United States fell by 9.34 per cent, year on year, extending a 14-month streak of continuous declines.
Exports to the European Union, meanwhile, dropped by 11.61 per cent last month, year on year.
“Exports continued to see broad-based weakness across regions and by products,” said economists at HSBC. “Global growth continues to face pressure from tighter monetary conditions while global-goods demand remains weak, relative to services.
“Exports to developed markets such as the US and EU, where much end-demand stems from, continued to fall at a faster pace.”