Beijing, Jun. 6, (dpa/GNA) - China’s exports logged double-digit growth in May as operations resumed in Shanghai after Coronavirus-linked lockdowns, official data showed on Thursday.
Exports advanced 16.9% from a year ago, following a 3.9% rise in April, the General Administration of Customs said. The pace of growth far exceeded the 8.0% expansion forecast by economists.
At the same time, imports grew 4.1% annually after remaining flat in April. Economists had forecast an annual increase of 2.0%. As a result, the trade surplus rose sharply to $78.7 billion in May from $51.1 billion a year ago. The expected level was $58.0 billion.
The recovery in trade would likely continue if there are no further lockdowns, ING economist Iris Pang said, adding that tariffs would be a talking point again, but changes were unlikely to happen soon.
The economist noted that if global demand continued to remain as strong as it had been since 2021, even without the removal of tariffs, China’s exports should maintain an average annual growth rate of 15%, at least through the third quarter of 2022.
According to the latest Organisation for Economic Co-operation and Development (OECD) forecast, China’s GDP growth will slip to 4.4% this year as strict lockdowns in key economic hubs such as Shanghai and Beijing dampened growth at the start of the year.
Nonetheless, GDP is forecast to rebound to 4.9% in 2023. The OECD said China’s exports will remain relatively strong as companies continue to raise their market shares.
GNA