China’s exports trailed estimates in June, suggesting support for growth from global demand will be limited as leaders try to defend their economic-expansion goal of about 7.5 percent this year.
Overseas shipments gained 7.2 percent from a year earlier, the customs administration said today in Beijing, compared with the 10.4 percent median estimate in a Bloomberg News survey of economists. Imports rose 5.5 percent, leaving a $31.6 billion trade surplus.
Weaker-than-anticipated trade would compound threats to the world’s second-largest economy from a property slump and rising debt, putting pressure on the Communist Party to consider stronger stimulus. International Monetary Fund Chief Christine Lagarde said this week that world investment spending remains lacklustre, signalling the institution will cut its global growth forecasts this month.
Premier Li Keqiang said on the 7th July that while China’s economic performance in the second quarter improved from the previous period, the nation can’t lower its guard against downward pressure and will increase the strength of targeted measures. China won’t adopt strong stimulus and can achieve annual goals of economic and social development for 2014, Li said at a press conference with German Chancellor Angela Merkel in Beijing.
China’s economy has shown signs of stabilisation after measures dubbed a “mini-stimulus” by some analysts. Factory-gate prices fell in June at the slowest pace in more than two years, according to government data released yesterday. Two gauges of manufacturing rose to the highest levels this year, reports showed on 1st July.
China will release second-quarter gross domestic product data on 16th July. The economy probably grew 7.4 percent from a year earlier, the same pace as the previous three months, according to the median estimate of analysts in a Bloomberg News survey in June.
SOURCE: http://www.bloomberg.com/news/2014-07-10/china-s-exports-rise-7-2-.html
