China's exports rise above expectations

China’s exports increased by 8.5 percent on an annual basis in April, exceeding economists’ expectations. While China’s exports continued to grow in April, imports fell sharply. China’s exports rose in April, indicating that global demand remains buoyant despite high interest rates and declining growth rates. In dollar terms, exports in the country rose by 8.5 percent in April compared to the same month of the previous year, while imports fell by 7.9 percent. Thus, China’s foreign trade surplus stood at $90 billion last month. Economists surveyed by Bloomberg had forecast an 8 percent increase in exports and a 0.2 percent decrease in imports. The strong increase was due to the fact that much of the country, including Shanghai and its surrounding major production areas, were closed due to quarantine measures in April of last year. China’s exports, which broke records last year, are expected to decline in 2023 as a result of rising prices and interest rates, high inventory levels and the war in Ukraine curbing global consumer demand.