Customs data released on Saturday showed exports climbed 14.1% year on year US dollar terms, significantly above March’s 2.5% increase and stronger than economists’ forecast of 7.9%.
The increase was driven by manufacturers rushing to meet growing international orders, with overseas buyers seeking to secure goods and components amid fears that the Iran war could further increase global production and shipping costs.
Chinese exporters have so far remained resilient despite ongoing instability in the Middle East, supported by strong foreign demand and efforts by buyers to stockpile supplies. Economists warn that a prolonged conflict and rising energy prices could eventually weaken external demand and deepen pressure on China’s already sluggish domestic consumption.
Separate factory activity data released last month showed new export orders rose to their highest level in two years, reflecting improved global demand for Chinese goods.
Imports also recorded another strong performance in April, rising 25.3% compared with 27.8% in March. Analysts had forecast a 15.2% increase.
The stronger trade activity boosted China’s trade surplus to $84.8 billion in April, up from $51.13 billion recorded the previous month.
China’s economy maintained steady momentum in the first quarter, with GDP growth reaching 5% year on year, matching the upper end of the government’s annual target range and reducing the immediate need for fresh stimulus measures.
Despite the stronger export performance, concerns remain over rising factory input costs, especially in petroleum, coal, chemicals and refined industrial products, according to factory survey data released last month.
Retail sales, a key measure of consumer spending, continued to lag behind industrial output, while unemployment rates edged slightly higher.
Meanwhile, US President Donald Trump is expected to visit China next week for talks with Chinese President Xi Jinping. Analysts say the meeting could lead to progress on agricultural trade and aircraft parts, though major geopolitical differences, particularly over Taiwan, are expected to remain unresolved
Goodness Anunobi
