China’s export growth expected to decline
April 26th, 2011 - 6:12 pm ICT by ANIBeijing, Apr 26 (ANI): China’s export are expected to decline after being hit by external and internal pressures, government reports have said.
According to the Development Research Center, China’s export growth could plunge to 20 percent in 2011, from 31 percent in 2010, while total imports could surge by 25 percent.
The country had a trade deficit of 1.02 billion dollars in the first quarter. Import prices surged by 14.2 percent year-on-year and export prices rose by 9.5 percent in the same period.
“The imbalance between the import and export prices has reflected the dilemma that Chinese exporters are facing: rocketing cost pressures and little say in pricing,” the Xinhua quoted Zhang Monan, an economics researcher with China’s State Information Center, as saying.
According to a Ministry of Commerce report, the nation’s exporters are seeing a thinner profit margin caused by surging commodity prices in the global market as well as rising labor costs and the appreciation of the Yuan.
The price of production materials in China surged by more than 11.2 percent year-on-year in the first quarter, boosted by commodity price increases in the global market and salary increases of 20 to 25 percent in 12 provinces and cities in the first quarter, following similar moves in 30 provinces last year, it said.
According the Development Research Center report, the trade surplus will continue to narrow in 2011 and is likely to plunge to 140 billion dollars in 2010 from 183.1 billion dollars last year.
Consequently, the full-year trade surplus is likely to narrow to about two percent of the GDP from last year’s 3.1 percent, it said.
A decline in the trade surplus will lessen pressure on China for the appreciation of the yuan, said Zhang. (ANI)
- 'China's foreign trade outlook grim' (Lead) - May 15, 2012
- China's 2010 'lowered trade surplus' trend to continue in first half of 2011 - Jan 11, 2011
- 'China trade surplus to decrease further' - Mar 08, 2011
- China's September trade surplus drops - Oct 13, 2011
- China's foreign trade growth slows in November - Dec 11, 2011
- China's exports rise to $173 bn in August - Sep 10, 2011
- China swings back to trade surplus - Apr 10, 2012
- China's consumer price index growth eases in November - Dec 09, 2011
- China sees first quarterly trade deficit in six years - Apr 10, 2011
- China back to trade surplus (Lead) - Apr 10, 2012
- China's trade surplus surges to $31 bn - Aug 11, 2011
- `China likely to see trade deficit in two years' - Nov 19, 2011
- China warns of grim foreign trade situation - Oct 19, 2011
- China confident in 10 percent trade growth (Lead) - Apr 17, 2012
- China posts biggest trade deficit in decade - Mar 11, 2012
Tags: 1 billion dollars, chinese exporters, commerce report, commodity price, commodity prices, export prices, government reports, import and export, import prices, internal pressures, ministry of commerce, monan, price increases, production materials, profit margin, salary increases, similar moves, state information center, trade surplus, xinhua