ALBAWABA – China imports picked up in October, official data showed on Tuesday, marking the first year-on-year growth since late last year, fuelling hopes that domestic demand in China is recovering on the heels of the stimuli introduced by the government to boost the market.
China imports unexpectedly grew last month while exports contracted at a quicker pace, in a mixed set of indicators that showed the world's second-largest economy facing persistent risks.
Trade figures are mostly upbeat, pointing Beijing's support measures having helped bolster a tentative comeback. However, a protracted property crisis and soft global demand continue to dog Chinese policymakers heading into 2024.
Against Reuters’ forecasts of a 4.8 percent decline in imports, China imports actually rose 3 percent in October, Agence France-Presse (AFP) reported, up from a 6.2 percent fall in September, according to Reuters,
China imports actually snapped 11 straight months of decline, as reported by Reuters.
Meanwhile, China’s PMI, the official purchasing managers' index, showed last week that both new export and import orders shrank for an eighth consecutive month in October.
China imports picking up point to strengthening domestic demand - Shutterstock
According to Reuters, China imported 13.52 percent more crude oil in October from a year earlier, which marks a marginal increase on September's growth. Soybean imports jumped 25 percent year-on-year, as the surge in cheap and plentiful shipments from Brazil continued.
In the meantime, trade with China's major peers continued to contract, with exports to Southeast Asia, its largest trade partner, down 15.1 percent.
Southwards, trade with Australia was the exception amid improving relations between Beijing and Canberra, cooling diplomatic tensions in recent years over issues including national security and COVID. China has in recent months lowered trade barriers on Australian barley and wine exports, Reuters reported.
Exports to Australia rose 5.9 percent in October while imports from the resource-rich nation climbed 12.0 percent.
China imports rising narrowed the overall trade surplus to $56.53 billion in October from $77.71 billion in September, while Reuters’ analysts expected a surplus of $82.00 billion.
