As per customs data released on Wednesday, China experienced a faster-than-anticipated growth in imports during July, while export expansion fell below projections.
Export figures in U.S. dollar terms exhibited a 7% rise from the previous year, failing to meet the anticipated 9.7% surge as per a Reuters poll. Conversely, imports denominated in U.S. dollars surged by 7.2%, exceeding the predicted 3.5% increase from the poll.
The unexpected decline in imports observed in June, amidst subdued domestic demand, contrasted with relatively resilient exports, signaling a bright spot in China’s economy amidst challenges such as a sluggish real estate sector and lackluster consumer expenditure.
Despite recording a 5% growth in the first half of the year, concerns arose in June as retail sales growth decelerated to 2%, casting uncertainty on achieving the full-year GDP target.
In response to inquiries regarding stimulus strategies for the latter half of the year, Chinese authorities reaffirmed their commitment to current measures and stressed the importance of long-term objectives focused on fostering advanced technology and other innovative growth sectors.
