China's exports and imports beat forecast in October

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China's imports in yuan-denominated terms surged 26.3 percent year-on-year in October, while exports rose 20.1 percent, with the pace of growth both beating expectations, data showed on Thursday.

The increases also accelerated from the 17.4-percent growth for imports seen in September and a rise of 17 percent for exports.

Trade surplus stood at 233.63 billion yuan (about 33.76 billion US dollars) last month, expanding from 213.23 billion yuan in September, according to data released by the General Administration of Customs (GAC).

For the first ten months, China's foreign trade totaled 25.05 trillion yuan, up 11.3 percent from the same period last year.

The trade surplus for the first ten months narrowed 26.1 percent year-on-year to 1.65 trillion yuan.

Lianyungang Port, east China's Jiangsu Province. /VCG Photo

In the first ten months, the export and import of Chinese private enterprises rose 14.6 percent year-on-year, becoming an engine driving the trade growth.

At the end of 2017, private businesses accounted for more than 60 percent of China's GDP and provided more than 80 percent of urban jobs.

Foreign trade with the European Union, the country's biggest trade partner, climbed 8.4 percent year-on-year to 3.68 trillion yuan for January-October, GAC data showed.

In the same period, trade with the US, China's second-biggest trade partner, rose 7.4 percent to 3.44 trillion yuan, followed by the ASEAN, its third-largest trade partner, at 3.18 trillion yuan or 13.7 percent.

October was the first full month after the latest US tariffs went into effect.

Despite several rounds of US duties this year, China's exports have been surprisingly resilient as firms ramp up shipments before stiffer US tariffs go into effect.

China and US flags at a booth during the first China International Import Expo (CIIE) in Shanghai. /VCG Photo

Analysts: Closer ties and positive policies help boost the data

Huatai Securities analysts noted a lower comparative base from last year and a weaker yuan, as well as China's closer economic and trade ties with countries in the Asia-Pacific region and along the Belt and Road also led to the strong growth.

Yingda Securities chief economist Li Daxiao said a string of favorable policies, including lower import tariffs and higher export tax rebates, also helped boost trade growth and stabilize the economic growth.

The promising results are also attributed to the country's great efforts to fully optimizing the customs clearance process.

The customs administration will further facilitate customs clearance, continue to optimize port business environment and cut the institutional costs for import, said Li Kuiwen, GAC official.

The country's economy expanded 6.5 percent in the third quarter, down from 6.7 percent in the second quarter but in line with the government's annual target.

Its imports of crude oil climbed 8.1 percent year-on-year to 377 million tonnes in the first ten months. Coal imports increased 11.5 percent while those of copper surged 17.2 percent. However, auto imports dropped 5.3 percent compared with one year earlier.

At the ongoing first China International Import Expo (CIIE), China vowed to import 40 trillion US dollars worth of products and services in the next 15 years.

Source(s): Xinhua News Agency