Trade data add more pressure on policy
The sharper-than-expected contraction of China’s foreign trade in August underscored the weakness of the Chinese economy and increased pressure on policy makers to take more growth spurring measures, economists said.
Exports fell by 6.1 percent year-on-year in August to 1.2 trillion yuan ($188.5 billion), compared with an 8.9 percent slide in July. Imports tumbled by 14.3 percent, widening significantly from July’s 8.6 percent decrease, according to the General Administration of Customs.
China’s total trade surplus reached $57.8 billion in August, a year-on-year expansion of 20.1 percent.
Li Xunlei, chief economist at Haitong Securities Co Ltd, said it is almost a certainty for China to miss its wholeyear trade growth target of 6 percent.