Chinese Exports Growth Accelerated in July, Despite US Tariffs
Growth of the China’s exports and imports accelerated last month, while trade surplus with the United States remained near record highs, despite increased trade tension between Beijing and Washington. China Customs Administration reported, that China's exports rose 12.2% yoy in July, up from 11.2% gain in June and beating forecasts for a 10% growth. Imports grew 27.3% in July, exceeding forecast of 16.2% growth, and compared with a 14.1% rise in June.
China's exports to the United States rose 13.3% in the first seven months of 2018 from a year earlier, compared with a 13.5% growth in January-June. Chinese imports from the US rose 11.8% in the same period.
China's surplus with the United States fell only slightly to $28.09 billion last month from a record $28.97 billion in June. Economists had forecast the surplus would be $39.33 billion in July, compared to a surplus of $41.47 billion in June. For January-July, the surplus with the US rose to $161.63 billion, compared with about $142.75 billion in the same period last year.
As it became known, the US plans to move forward with further tariffs for Chinese imports, starting August 23. A 25% tariff will apply for the annual import of Chinese goods worth about $16 billion, covering about 280 items of goods. Earlier, the Trump administration proposed a higher 25% tariff on $200 billion worth of Chinese imports. China in turn retaliated by proposing tariffs on $60 billion worth of US goods, with the extra levies ranging from 5% to 25%.