China exports rebound in May
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As Shanghai easies restrictions and lockdowns, the Chinese exports strongly rebound in May.
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China exports rebound in May
China's exports returned substantially in May, according to statistics released on Thursday, with factories reopening and supply systems untangling as Shanghai gradually emerged from a grueling lockdown.
Read more: China exports up 12.5% in first quarter of 2022
The city went under a staggered lockdown in late March and was subsequently entirely locked off for around two months as China strictly sticks to a zero-Covid policy to fighting the epidemic.
Strict mobility restrictions in many locations, often affecting only a few instances, kept customers at home and harmed the economy, bringing retail sales, industrial output, and export growth to their lowest levels in roughly two years.
However, as limitations have been lifted, international shipments from the world's second-largest economy increased 16.9% year on year in May, up from 3.9% in April, according to customs statistics released on Thursday.
Bloomberg surveyed analysts, who predicted a 7.6% increase. However, analysts have warned that the recovery may be fleeting.
In a recent statement, Nomura analysts said that "extensive disruptions in the Yangtze River Delta in the past couple of months and Beijing’s determination to carry on with its zero-Covid strategy may cause some foreign customers to shift their orders to... neighboring countries."
According to customs figures, imports increased 4.1% last month, above forecasts. According to the Customs Administration, China's trade surplus was over $79 billion last month, up from $51 billion in April.
