Unexpected decline in China's foreign trade

China's exports and imports unexpectedly decreased in October. Exports and imports fell simultaneously for the first time since May 2020. Rising inflation, rising interest rates slowing global demand, and COVID-19 measures had a negative impact on China's exports and imports. In October, exports decreased by 0.3 percent compared to the same period last year, while imports decreased by 0.7 percent. Exports, which increased by 5.7 percent in September, were expected to increase by 4.3 percent in October, while imports, which increased by 0.3 percent in September, were expected to grow by 0.1 percent. China's foreign trade surplus in October was $85.15 billion, up from $84.74 billion in September. However, it fell far short of expectations of $958.95 billion. When evaluated in yuan terms, China's exports increased by 7 percent and imports by 6.8 percent in October. The trade balance was 586.81 billion yuan.