Chinese trade data reflects slowing demand

Chinese import and export growth slowed sharply in June from the previous month, reflecting stagnating economic conditions in China and abroad, Reuters reported. Imports rose 6.3% year-on-year in June, the customs administration said Tuesday, less than half the 12.7% increase forecasted by economists polled by Reuters and down sharply from the 12.7% increase in May. Exports grew 11.3% year-on-year in June, above economist estimates of a 9.9% increase but down from May’s strong increase of 15.3%. The country’s trade surplus widened to US$31.7 billion in June, above a forecast of US$21 billion and up from US$18.7 billion in May. “In today’s ‘accentuate the negative’ world, this is going to put the focus on the domestic demand angle and the hard landing story,” said Tim Condon, chief economist and head of Asian economic research at IGN in Singapore.