China August exports beat forecasts, imports in surprise fall
China’s import growth unexpectedly fell for the second consecutive month in August, posting its worst performance in over a year and stoking speculation about whether authorities should loosen policy further to revive domestic demand.
Imports by the world’s second-biggest economy fell 2.4% in August compared with a year ago, the General Administration of Customs said on Monday, missing a Reuters estimate for a 1.7% rise.
It was the second straight month that China’s import growth was surprisingly weak, raising concerns that tepid domestic demand exacerbated by a cooling housing market is increasingly weighing on the economy.
Although falling commodity prices have magnified the weakness in imports as China’s trade data is measured in terms of value, analysts said Chinese demand also seemed to be fizzling.
Some analysts said the lacklustre data corroborated with figures seen elsewhere. Steel demand, for instance, has not rebounded despite a steep fall in iron ore prices, noted Mark Pervan, head of research at ANZ Bank.
Source: Reuters
