Imports to China dropped by 12.4% y/y to $201.16 billion in July 2023, worse than market estimates of a 5.0% decline and after a 6.8% fall a month earlier, a fifth straight month of lower purchases and the steepest decrease since May 2020, due to deteriorating domestic demand.
Exports from China slumped 14.5% y/y to a five-month low of $281.76 billion in July 2023, the steepest decline since February 2020, after a 12.4% drop in June, and worse than forecasts of a 12.5% fall, amid slowing global demand.
Meanwhile, the politically sensitive trade surplus with the US widened to $30.3 billion in July from $28.72 billion in June.
In the first seven months of 2023, China’s trade surplus with the US reached $181.8 billion.
Considering the first seven months of the year, the country posted a trade surplus of $489.57 billion, with exports shrinking by 5% while imports dropped 7.6%.
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