Exports decline 22.6% in April

China’s exports fell by 22.6% year-on-year in April to US$91.94 billion, suggesting that Beijing’s US$586 billion stimulus package has yet to establish a solid base for economic recovery, Bloomberg reported. April’s decline in exports compared to a 17.1% slump seen in March, and export orders from last month’s Canton Fair, China’s largest trade fair, were also down 16.9% to US$26.23 billion from six months earlier. Imports declined by 23% in April, narrowing the trade surplus to around US$12.9 billion, compared to the US$18.56 billion surplus recorded in March. Meanwhile, fixed asset investment (FAI) rose 30.5% year-on-year during the first four months of 2009 due to government-backed investment in railways, oil pipelines and low-cost housing. The government is also planning to lower capital requirements to invest in fixed assets in transportation, property, coal and information technology in order to increase private spending.