Chinese exports to the rest of the world grew strongly in June as trade picked up following the easing of pandemic lockdowns and logistics bottlenecks in its ports. Still, economists say the trade bounce is unlikely to last, as rate increases by the US Federal Reserve and other central banks to cool inflation weigh on global growth, reports The Wall Street Journal.
Chinese exports rose 17.9% in June compared with a year earlier, China’s General Administration of Customs said Wednesday. This beat the 12% forecast of economists polled by The Wall Street Journal and exceeded the 16.9% pace recorded in May.
The pickup was led by an increase in exports to the US and countries in Southeast Asia, data showed. Exports to the US rose 19.3% on the year, accelerating from a 15.8% annual pace in May. Export growth to the European Union slowed as an energy crunch caused by Russia’s invasion of Ukraine and Western sanctions in response suppressed consumer and business demand.