October Export Slump in China Exceeds Forecasts, Imports Defy Expectations

China’s exports fell more than expected in October, signaling the continuation of issues affecting its economy and a decrease in global appetite for the country’s products.

According to the General Administration of Customs, exports, a critical driver of the world’s second-largest economy, dropped 6.4% in October compared to the same period the previous year. In September, exports had declined by 6.2% year-on-year.

October’s figures were considerably worse than the anticipated 3.5% decline expected by economists in a survey conducted by The Wall Street Journal.

On the other hand, imports increased by 3.0% in October compared to the same month in 2022. This contrasts with a 6.2% drop in September and marks the end of a seven-month contraction period. These data suggest that Beijing’s stimulus measures may have started to revive domestic demand.

Economists surveyed by The Wall Street Journal had predicted a 4.8% decline in imports in October.

As a result, China recorded a trade surplus of $56.5 billion in October, lower than the $77.7 billion surplus in September. Economists had expected a surplus of $82.3 billion.

Source: Valor Econômico

To read the original news report, see: https://valor.globo.com/mundo/noticia/2023/11/07/china-exportao-recua-64-pontos-percentuais-em-outubro-em-base-anual-mercado-esperava-35.ghtml

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