BEIJING — China’s exports decreased by 0.3% in October compared to the same month last year, falling short of Reuters’ forecast of a 4.3% growth.
According to Refinitiv Eikon data, the decrease in U.S. dollars last month was a steep reduction from a 5.7% annual growth in September and the first annual decline since May 2020.
In U.S. dollars, imports decreased by 0.7% in October, falling short of forecasts for a 0.1% increase and down from a 0.3% rise in September.
As of Monday morning, the only year-to-date currency accessible for China’s trading with other nations and areas was the yuan. According to the data, the U.S. continued to be China’s major trading partner.
Chinese exports to the United States decreased to an 8.4% annual rate through October from a 10.1% rate as of September. By October, imports from the US had increased by 1.7%, outpacing the 1.3% growth rate of the previous month.
Along with continuing Covid regulations, the Chinese Communist Party’s twice-decade conference, when President Xi Jinping solidified his authority, took place last month.
Last week, Barclays lowered its prediction for China’s economic growth in 2019 due to concerns that the country’s exports will decline by at least 2% as a result of weaker demand from the U.S. and EU.
In recent months, the likelihood of an economic slump in the EU and the US has grown. Recent announcements of layoffs and other cost-cutting measures come from numerous major American tech corporations.
The aggressive interest rate increases by the U.S. Federal Reserve have helped the dollar gain ground versus other currencies. Refinitiv Eikon reports that the yuan declined versus the USD by about 3% in October.
According to customs figures issued on Monday, exports increased by 7% and imports by 6.8% in yuan.