China exports post surprise jump despite power crunch

China exports post surprise jump despite power crunch

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Beijing: Despite fears that the country’s recent power contraction may hinder production, official data on Wednesday showed that China’s exports in September unexpectedly increased.

Following the substantial increase in trade in the world’s second largest economy in August, this indicates that with the outbreak of the domestic virus outbreak, overseas demand for consumer goods has surged.

But last month, many factories were forced to suspend operations due to emission reduction targets, soaring coal prices and supply shortages that led to power outages-raising concerns about the global supply chain.

However, according to customs authorities, exports in September increased by 28.1% year-on-year, which was better than expected and higher than the 25.6% in August.

However, imports fell short of expectations, increasing by 17.6%, only a little more than half of the increase last month.

“The external environment has become more complex and severe, and our country’s foreign trade development still faces many unstable and uncertain factors,” customs spokesman Li Kuiwen told reporters on Wednesday.

But he stressed the resilience of China’s foreign trade, adding that in the first three quarters electronics exports rose 23 percent in yuan terms — making up almost two-thirds the value of all overseas shipments.

Although import volumes of key commodities such as coal and crude oil decreased slightly in the same period, average prices surged, Li said.

“Affected by the rise in global commodity prices, our import prices rose 11.3 percent on-year. Among that, the average import prices of iron ore, crude oil, copper and other commodities increased by more than 30 percent,” he said.

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