As China’s exports to the United States fell 27% in Septemberin year-on-year terms, despite the Asian country’s global trade having grown at the strongest pace in the last six months, according to data released today.
As total exports increased 8.3% year-on-year, to 328.5 billion dollars (around 282 billion euros)exceeding economists’ forecasts and accelerating compared to the 4.4% growth recorded in August.
As imports rose 7.4% in Septemberafter an increase of 1.3% in the previous month, but the weakness of the domestic economy and the crisis in the real estate sector continue to dampen demand and consumption.
Sales to the United States recorded the sixth consecutive drop, after a 33% drop in August.
O slowdown reflects the impact of the United States president’s tariff policyDonald Trump, who seeks to encourage the transfer of factories to North American territory, putting pressure on Chinese exports.
On the other hand, China reinforced its presence in other markets: exports to Southeast Asia grew 15.6% in Septemberwhile the sales to Latin America and Africa increased by 15% and 56%respectively.
“China’s exports continue to show resilience, thanks to low costs and a lack of global alternatives, despite rising tariffs,” said Gary Ng, economist at French bank Natixis, in a report.
As Trade tensions reignited on Friday, when Trump threatened to impose an additional 100% tariff on Chinese products and restrictions on exports to China of technology considered critical.
In response, Beijing announced new port taxes on US ships and expanded controls on the export of lithium-ion batteries, rare earths and associated technologies.
The escalation could jeopardize the meeting scheduled for the end of October between Trump and Chinese President Xi Jinping, and signals the lack of progress in attempts to reach a broad trade agreement between the world’s two largest economies.