China’s export growth slowed to the lowest in six months in August, as the world’s second-largest economy shipped less to the U.S., the largest, due to tariff tensions, reports the Guardian.
China’s exports shipments to the U.S. fell 33%, according to official figures, while exports to southeast Asian nations rose by 22.5%. Overall, exports from China rose by 4.4% year-on-year, less than economists had expected, and down from July’s better-than-expected 7.2% increase. Imports grew by 1.3%, down from a 4.1% rise in July.
Policymakers in Beijing want manufacturers to shift to other markets in light of Donald Trump’s erratic trade policy.
Chinese imports are subject to a a baseline tariff of 10% and a 20% extra levy in response to fentanyl smuggling allegations against China. Some products are taxed at higher rates.
China’s trade surplus rose to $102.3 billion in August from $98.2 billion in July, but below June’s $114.8 billion. Analysts are waiting to see whether officials will implement extra fiscal support measures in the fourth quarter to revive domestic demand.
