China’s export growth jumped to the highest in more than two decades, official data showed yesterday, with imports also surging in a sharp bounceback from the COVID-19 pandemic that had brought activity to a near halt.
Electronics and textile exports, such as masks, contributed to the spike in outbound shipments, as demand for work-from-home supplies and protective gear against the outbreak soared during the pandemic.
Exports spiked 60.6 percent year-on-year in the January-to-February period, well above analysts’ expectations, while imports rose 22.2 percent, official data showed.
Photo: STR/AFP/China OUT
The latest figures stand in stark contrast to last year’s fall of about 17 percent in exports and a 4 percent drop in imports as the country struggled to contain the spread of COVID-19.
The customs administration said comparison to last year is also likely to have bolstered the latest figures, saying in a statement that the “low base is one of the reasons for the larger increase this year.”
Official data showed that electronics exports rose 54.1 percent, while textiles, including masks, rose 50.2 percent.
China’s overall trade surplus came in at US$103.3 billion, data showed.
The country’s trade surplus with the US — a key point of contention during a trade dispute pursued by former US president Donald Trump — doubled from the same period last year to US$51.3 billion.
China’s foreign trade data remained strong, despite the “off-season,” the customs authority said.
Trade was also high due to a recovery in production and consumption in major economies, such as Europe and the US, amid the pandemic, as well as improvements in domestic consumption.
Although business activity usually falls during the Lunar New Year period, when workers return to their hometowns, official appeals to avoid traveling this year to keep the pandemic in check supported production, the customs administration added.
“Many enterprises in major foreign-trade provinces, such as Guangdong and Zhejiang, maintained production during the Lunar New Year,” it said. “Market demand is expected to rebound further.”
Some companies have also been stocking up on goods such as integrated circuits, iron ore and crude oil.
“Global electronics demand has risen strongly due to the global shift to remote working and online shopping,” IHS Markit’s Asia-Pacific chief economist Rajiv Biswas said.
This had driven demand for electronics products such as laptops, mobile phones and wearables, he said.
Meanwhile, the strong import growth also reflected a “normalization of consumer spending” in China after a severe slump due to lockdowns, he told reporters.
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