China's trade surplus soars, as exports unexpectedly edge up

Trucks move shipping containers at a port in Qingdao in eastern China's Shandong province, Monday, June 10, 2019. China has reported a sharp jump in its trade surplus for May, as imports fell off and exports edged up. (Chinatopix via AP)
A boat sails past a cargo ship loading containers at a port in Qingdao in eastern China's Shandong province, Monday, June 10, 2019. China has reported a sharp jump in its trade surplus for May, as imports fell off and exports edged up. (Chinatopix via AP)

BEIJING — Chinese exports edged up in May, surprising markets, but analysts say the rebound is likely to be short-lived given higher U.S. tariffs and slowing global growth.

China's monthly trade surplus jumped 78% to $41.7 billion, as exports rose 1.1% to $213.8 billion and imports fell 8.5% to $172.2 billion, the Chinese customs agency said Monday.

The fall in imports reflects weak domestic demand, analysts said. The rise in exports came despite a worsening trade war with the United States in which both countries have raised tariffs on each other's products.

"While exports rose in May, weaker global demand and the escalating trade war suggest that they will start to fall again before long," Capital Economics said in an analysis.

Citi Research, a division of Citigroup Global Markets, likewise said that improved export growth will likely be transitory.

China's trade surplus with the United States rose to $26.9 billion, driven by a month-to-month increase in exports to $37.7 billion. Imports from the U.S. were up slightly from April at $10.8 billion.

People also read these

Asia shares falter as investors watch dollar,...

Jan 6, 2017

Asian shares are wavering as a weaker dollar discourages investors who are shying away from risky...

McDonald's sells China business in deal worth up...

Jan 9, 2017

Fast-food giant McDonald's is selling a controlling stake in its China business to a group of...

China state media call Trump's Taiwan strategy...

Jan 16, 2017

China's state-run media says President-elect Donald Trump "speaks like a rookie" and called his...

IMF raises China growth forecast but warns on debt

Jan 16, 2017

The International Monetary Fund has raised its growth forecast for China but warned that rising...

Malaysia Air on rebound as missing flight search...

Jan 17, 2017

Nearly three years after twin disasters took it to the brink of financial collapse, Malaysia...

About Us

Frontal Report is an emerging leader in all forms of media. We aim to be the leading news brand for readers around the world.

Contact us: sales[at]frontalreport.com

Subscribe Now!