MNI DATA IMPACT: China H1 Trade Better Than Expected

     BEIJING (MNI) - China's trade performance in the first half recovered

faster than expected from the pandemic disruptions, with both exports and

imports recording gains in June, data from General Customs showed on Tuesday: 

     Here are some takeaways from the release:

     - Exports edged up 0.5% y/y to $213.57 billion in June, recovering from the

3.3% y/y decline last month. Exports declined 6.2% y/y - narrower than the

previous 7.7% y/y slump over the first part of the half year.

     - Exports to the EU, the biggest partner, fell 1.5% y/y in the first half,

while those to Japan, the fourth biggest trading partner, fell 3.1% in the

Jan-Jun period. Exports to the US have dropped 11.1% y/y so far this year,

marking the biggest decline among the first echelon. 

     - June imports rose for the first time this year by 2.7% y/y to $167.15

billion, compared with last month's 16.7% decline. Imports fell 7.1% y/y in the

first half, slower than the 8.2% y/y decline reported in Jan-May.

     - June imports from ASEAN countries showed the only gain out of five

markets, up by 5.0% y/y. Imports from the EU, Japan and the US were down 9.6%

y/y, 2.6% y/y and 4.8% y/y, respectively.

     - The trade surplus in June narrowed to $46.4 billion from $62.9 billion

posted last month, bringing the total balance to $167.8 billion for the first

half. 

     - The world is changing due to the deep impact of the pandemic. The global

economy is in recession and international investment is shrinking, while China

is facing a more severe and complex external environment, Customs said.

--MNI Beijing Bureau; tel: +86 (10) 8532-5998; email: flora.guo@marketnews.com

--MNI Sydney Bureau; +61 405322399; email: lachlan.colquhoun.ext@marketnews.com

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