Exports, imports fall sharply in May

China’s imports and exports both fell in May, but some analysts said the worst is likely over as investment rose sharply, the South China Morning Post reported. May exports decreased by a record 26.4% from the same month last year, while imports were down 25.2%, according to China’s customs agency. Despite a year-on-year import decline, however, analysts said demand for foreign raw materials is increasing as Beijing’s stimulus spending takes hold. The value of imports dropped even as volume rose, due to a 30-50% decrease in the price of oil and other commodities from last year’s highs. China’s global trade surplus in May narrowed by 33% in comparison to US$13.4 billion in May 2008. April’s surplus was US$13.1 billion.