China Trade Surplus Narrows in October


China reported a USD 49.06 billion trade surplus in October of 2016, compared to a USD 61.26 billion surplus a year earlier. The figure came below market consensus of a USD 51.7 billion surplus, as exports fell much more than imports.

In October, sales declined by 7.3 percent from a year earlier to USD 178.18 billion, following a 10.0 percent drop in the preceding month while markets estimated a 6.0 percent fall. It is the lowest value in six months.

Imports decreased by 1.4 percent to 129.12 billion, compared to a 1.9 percent fall in September and expectations of a 1.0 percent decline. It is the lowest value in eight months.

In yuan-denominated terms, exports fell 3.2 percent from a year ago, the second straight month of contraction. Inbound shipments went up 3.2 percent, following a 2.2 percent rise in the prior  month.

In September 2016, trade surplus came in at USD 41.99 billion.

Considering the first ten months of 2016, total trade in USD decreased by 7.6 percent from a year-earlier. Exports dropped by 7.7 percent.  Sales were down to Hong Kong (-7.9 percent), Japan (-5.3 percent), South Korea (-9.0 percent), Taiwan (-12.6 percent), ASEAN countries (-7.5 percent), the EU countries (-4.9 percent), South Africa (-21.4 percent), Brazil (-26.0 percent), the US (-7.7 percent), Australia (-7.3 percent) and New Zealand (-2.8 percent). In contrast, outbound shipments rose to India (+0.9 percent) and Russia (+5.9 percent). Imports dropped by 7.6 percent, mainly due to lower commodity prices. In volume terms, inbound shipments declined for: fresh, dried fruits & nuts (-8.4 percent), grain & cereal flour (-31.6 percent), edible oil (-21.4 percent), refined oil (-7.6 percent), mineral fertiliser (-26.6 percent) and plastics in primary forms (-4.7 percent). In contrast, purchases were higher for soybeans (+1.9 percent), iron ore & concentrates (+8.9 percent), copper ore & concentrates (+31.6 percent), coal & ignite (+18.5 percent), crude (+13.6 percent), natural gas (+21.1 percent), pharmaceuticals (+15.7 percent) and natural rubber (+24.3 percent).

General Administration of Customs l Rida Husna | rida@tradingeconomics.com
11/8/2016 5:37:14 PM