China’s trade balance expands more than expected in Oct as exports grow Investing.com
Investing.com– China’s trade balance expanded more than expected in October, as export growth beat expectations on stronger overseas demand and domestic production, while imports eased amid weaker domestic demand.
grew to $95.27 billion in October, tax data showed Thursday. The reading was higher than expected at $73.5 billion and up from $81.71 billion seen last month.
The stronger trade was mainly due to a sharp increase in , which grew by 12.7% year-on-year in October. The increase was higher than expected at a 5% increase, and well above the 2.4% increase seen in the previous month.
Strong exports were driven mainly by strong overseas demand, while domestic manufacturers largely ignored the impact of recent trade tariff hikes in the west, particularly in China’s electric vehicle sector.
But local demand remained weak, with Chinese exports falling 2.3% year-on-year, beating expectations for a 1.5% decline and reversing the course from a 0.3% rise last month.
Beijing unveiled its most aggressive course of stimulus measures in the past month, largely aimed at supporting domestic economic growth. But their size and execution is still unclear.
