China Trade Surplus Widens, Exports and Imports Slide in June



Chinese trade surplus increased slightly by 6.4 percent year-on-year to USD 48.1 billion in June of 2016. The figure came above market expectations of an USD 46.6 billion surplus although exports fell the most in four months and imports contracted much more than expected.

Exports fell 4.8 percent year-on-year to USD to 180.3 billion in June of 2016, worse than market expectations of a 4.1 percent drop. In the last twelve months exports rose only in March (10.7 percent). In yuan-denominated terms, exports grew 1.3 percent year-on-year in June, following a 1.2 percent rise in May.

Imports shrank 8.4 percent to USD 132.2 billion, following a 0.4 percent decline in May and market expectations of a 5 percent drop. It is the 20th straight month of decline, a likely sign of weaker domestic demand and lower growth prospects.

In yuan-denominated terms, exports grew 1.3 percent year-on-year in June, following a 1.2 percent rise in May while imports fell 2.3 percent, reversing from a 5 percent growth in May. 

Considering the first six months of the year, total trade in USD declined 8.7 percent from a year earlier. Exports fell 7.7 percent as sales shrank to almost all major partners except India: the United States (-9.9 percent); the European Union (-4.4 percent); Hong Kong (-4.8 percent); Japan (-6.1 percent); South Korea (-8.7 percent); Vietnam (-9.1 percent); Singapore (-11.3 percent); India (+1.8 percent). Imports slumped 10.2 percent, mainly due to lower commodity prices. In volume terms, imports fell for steel (-2.8 percent) and edible veg oil (-11 percent) but rose for crude oil (14.2 percent); natural gas (22.7 percent); copper ores and concentrates (34.7 percent); coal (8.2 percwnt) and iron ore (9.1 percent).

China Trade Surplus Widens, Exports and Imports Slide in June


General Administration of Customs l Joana Taborda | joana.taborda@tradingeconomics.com
7/13/2016 12:27:42 PM