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China exports hike for first time in 6 months: Customs data

  • By Al Mayadeen English
  • Source: Agencies
  • 13 Apr 2023 08:19
  • 1 Shares
2 Min Read

The second-largest economy in the world resumed its rebound after the onerous coronavirus restrictions were lifted late last year.

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  • Containers are seen at the Yangshan Deep-Water Port in Shanghai, China October 19, 2020. (REUTERS
    Containers are seen at the Yangshan Deep-Water Port in Shanghai, China, October 19, 2020. (Reuters)

Customs data showed that China's exports increased in March for the first time in six months as the second-largest economy in the world resumed its rebound after the onerous coronavirus restrictions were lifted late last year.

Total exports increased 14.8% year over year, a significant increase over last March when tight virus lockdowns hindered regular economic activity, as per data.

According to Bloomberg News, the first increase since September defied analysts' predictions, many of whom expected a further decline.

"The positive surprise may be partly due to a low base effect as the Covid outbreaks in March last year forced many factories to shut down," said Zhiwei Zhang, of Pinpoint Asset Management.

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The strong growth may also be a result of "inventory and order cycles for exporters", Zhang added.

In December, China abruptly dropped some of the harshest Covid restrictions in the world, setting off a flurry of lawsuits that made it difficult for many enterprises to conduct regular business.

The outbreak "likely depleted factories' inventories", Zhang said, but added that "factories are (now) running at full capacity (and have) caught up the cumulated orders from the past".

The Director of the International Monetary Fund, Kristalina Georgieva, recently expressed optimism about China's prospects, as Beijing is expected to contribute significantly to global economic development, making up approximately one-third of it in 2023.

According to China's social and economic development plan, the country's GDP is anticipated to by 5% this year. Some academics, though, are more optimistic about China's economic development. The country's GDP could grow by 6% in 2023, according to Chen Fengying, the former head of the Institute of World Economic Studies at the China Institute of Contemporary International Relations.

Read more: Spanish Economy Minister: Europe cannot ignore China

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