China's Export Growth Remained Stable in September, Despite Trade Dispute With US

Forex News

China's exports rebounded in September, while imports remained stable due to strong domestic demand, despite deteriorating trade relations with the US. The customs data showed, that exports rose by 14.5% in September from a year earlier and showed the fastest pace since February. The indicator was above August's 9.8% and economists’ forecast of 8.9% gain. Imports rose 14.3% in September, versus a 19.9% gain in August, slightly missing analysts' forecast of a 15.0% growth.

China's trade surplus with the United States surged to a record high of $34.13 billion in September, compared with $31.05 billion in August. The September surplus with the US was larger than China's overall trade surplus of $31.69 billion for the month. For January-September, China's trade surplus with the United States was $225.79 billion, compared with about $196.01 billion in the same period last year.

The world's two biggest economies last imposed tariffs on each other's goods on September 24. According to analysts, September’s trade data suggest that US tariffs are not influencing much yet and unlikely to be sustained.

China's economy is still pressured by tariff dispute. The China’s central bank loosened its monetary policy by cutting banks' reserve requirement ratio (RRR) for a fourth time this year. Also, Beijing has pledged to increase export tax rebates from November 1 for the second time this year and promised to cut corporate burden on a larger scale to help Chinese firms.