China’s export growth in August beats forecasts in yuan terms

BEIJING: China’s trade surplus with the United States rose to a record in August, as US President Donald Trump ramps up pressure on Beijing.

The nation’s trade gap with the United States widened to US$31.1bil during the month, according to Bloomberg calculations.

The increase came despite exports climbing at the slowest pace since March.

Shipments rose 9.8% in dollar terms, the customs administration said Saturday. Imports climbed 20%.

Chinese exporters are feeling the pain as trade tensions between the world’s two biggest economies get worse.

Trump turned up the heat again on Friday, threatening to impose tariffs on an extra US$267bil in Chinese goods.

That would be on top of duties on US$50bil already in force and another US$200bil in the works.

“Exports to the United States grew at a faster pace than the previous month as exporters front-loaded orders before the additional tariffs on US$200bil Chinese goods take effect,” said Gai Xinzhe, an analyst at the Bank of China's Institute of International Finance in Beijing.

Faster US economic growth also pushed up demand, Gai said.

Trade talks last month between mid-level US and Chinese officials led nowhere.

China’s commerce ministry said the two sides have maintained contact on a working level since then.

“We believe the US government will continue to escalate the scale and scope of trade and investment measures against China,” Raymond Yeung, chief greater China economist for Australia & New Zealand Banking Group Ltd in Hong Kong, wrote in a recent note.