China's exports declined more-than-expected in October as seen in previous months, leaving the economy to rely on domestic demand and vulnerable property investment to attain a moderate growth.
Exports decreased 7.3 percent in October from the a year ago, data from the General Administration of Customs revealed Tuesday. Shipments were forecast to drop 6 percent after a 10 percent fall in September.
Imports fell 1.4 percent annually, bigger than the expected decrease of 1 percent, but smaller than the 1.9 percent drop registered in September.
Consequently, the trade surplus rose to $49.1 billion in October from $41.99 billion in September. But the surplus was below the expected level of $51.7 billion.
In yuan terms, exports decreased 3.2 percent, while imports rose 3.2 percent in October.
In the first ten months of the year, exports decreased 7.7 percent and imports dropped 7.5 percent.
With both global and domestic growth unlikely to accelerate much further, the medium-term outlook for Chinese trade remains challenging, Julian Evans-Pritchard at Capital Economics said.
The ongoing cyclical rebound in China's economy should support imports for another quarter or two but is unlikely to last much longer, the economist added.
In the third quarter, China's economy expanded 6.7 percent year-on-year, maintaining the momentum to hit the full year target of 6.5-7 percent. In 2015, the Chinese economy grew at the slowest pace in 25 years.
by RTT Staff Writer
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