A sharp downturn in China’s economy appears to be easing, with better-than-expected trade figures during August.
According to Bloomberg, overseas shipments from the country fell 8.8 per cent on the previous year, while imports decreased by 7.3 per cent – both better than estimates and a significant improvement on July’s figure. There was a trade surplus of US$68bn for the month.
The report said recent indicators of a revival in global demand would also be positive for China. This includes a similar easing in the decline of exports from South Korea.
Chinese shipments to Europe and the ASEAN region have continued to decline by double-digits, said the report, but the decline in the US market improved significantly; down 9.5 per cent in August, compared with a 23.1 per cent fall during July.
Bloomberg said some analysts predict China will fall short of its five per cent growth target for the year. However, the country’s government has rolled out measures designed to stimulate business confidence and boost a flagging property market, including more relaxed buying rules for home buyers.