Export growth in China dropped to its lowest level in almost two years, while imports stayed relatively the same in April as increasing Covid curbs stopped factory production and dented domestic demand, reports Reuters. Exports in dollar terms grew 3.9% in April from a year earlier, dropping sharply from the 14.7% growth reported in March although slightly better than analysts’ forecast of 3.2%. It was the slowest pace since June 2020.
Imports were broadly stable year-on-year, improving slightly from a 0.1% fall in March and a bit better than the 3.0% contraction tipped by the Reuters poll.
The weak figures show China’s trade sector, which accounts for about a third of gross domestic product, is losing momentum as lockdowns across the country ensnared supply chains in major centres like Shanghai, heightening risks of a deeper slowdown in the world’s second-largest economy and beyond.