Robust start of foreign trade signals confidence in China's economy

On Thursday, nearly 4,000 cars left Fuzhou Port's Jiangyin port area in east China's Fujian Province for Europe, the largest number of car exports shipped in a single trip from this port.

He Yonghui, head of the port's ocean shipping agency business, told China Media Group that the growing number of car exports shows that Chinese cars are becoming increasingly popular with overseas consumers.

China's auto exports surged 30.5 percent year on year to 822,000 units in the first two months of this year, data from the China Association of Automobile Manufacturers (CAAM) showed.

Experts from the CAAM said China's automobile industry is showing strong competitiveness in the global market and is likely to maintain momentum, thanks to its technological innovation, cost control, and mature industrial chains.

In the first two months of 2024, China has seen a robust start in foreign trade. From January to February, China's foreign trade in goods stood at 6.61 trillion yuan (about $930.96 billion), rising 8.7 percent year-on-year, according to the General Administration of Customs (GAC).

Exports grew 10.3 percent year on year to 3.75 trillion yuan, while imports rose 6.7 percent from the same period of 2023 to 2.86 trillion yuan, the data showed. Exports of machinery and electronic products accounted for nearly 60 percent of the country's total exports during the period.

Experts said the good start has shown recovering demand in the overseas market, and it is expected that the country's exports will maintain a moderate expansion this year.

Strong exports to emerging markets drove up the country's trade growth in the January-February period, according to Nomura, a global financial services company headquartered in Tokyo, Japan.

In the first two months, China's trade with its largest trade partner, the Association of Southeast Asian Nations (ASEAN), rose 8.1 percent year on year to 993.24 billion yuan, accounting for 15 percent of the country's total trade value. 

During the same period, China's foreign trade with its Belt and Road Initiative (BRI) partners reached 3.13 trillion yuan, registering a year-on-year growth of 9 percent.

Economists expressed optimism over China's economic outlook, as this year's government work report stressed efforts to promote high-quality development.

UBS economist Wang Tao told Xinhua News Agency that the Chinese government highlighted the ongoing structural changes and outlined structural policies to facilitate the transition, such as policies on developing new quality productive forces.

The term, a catchphrase in China's policymaking, refers to advanced productivity freed from the traditional economic growth mode and productivity development paths. It features high technology, high efficiency, and high quality.

Liu Jing, chief economist for Greater China at HSBC, said China can deliver its growth target of around 5 percent this year.

An array of favorable factors, including recovering consumer sentiments, stronger manufacturing investments driven by massive equipment upgrades, and fiscal and monetary measures, will help promote a steady recovery of the economy, Liu said.

(With input from CMG, Xinhua)