China’s exports unexpected declined in October from a year earlier for the first time since June 2020 amid weakening overseas demand and higher base last year.
China’s exports, in US dollar terms, declined by 0.3% in October from a year earlier, according to data released by the General Administration of Customs on Monday, weakening significantly form the 5.7% gain in the previous month and missing market expectation of 4.5% growth.
Imports dropped 0.7% year over year in October, showed the data, compared to 0.3% gain in the previous month and market expectation of zero growth.
The country trade surplus expanded to $85.15 billion last month, compared to $84.74 billion in the previous month, showed the customs data.
In the yuan terms, China’s exports grew 7% in October from a year earlier, slowing from the 10.7% gain in September, and imports grew 6.8% in Oct from a year ago, compared to 5.2% gain in the previous month.
Trade surplus reached 586.8 billion yuan in Oct, compared to 573.57 billion yuan in the previous month, showed the data.
China’s total imports and exports reached 3.55 trillion yuan in October, rising by 6.9% from a year earlier, said the customs administration.
By regions, China’s exports to major economies eased across the board. Shipments to the US declined by 12.6% year over year in October, expanding from the 11.6% drop in September, hitting the steepest drop since April 2020 for the third consecutive month.
Shipments to the European Union fell by 9% on year, marking the first drop since November 2020 and compared to 5.6% growth in September. Exports to Japan grew by 3.8%, slowing by 2.1 percentage points.
China’s exports to ASEAN countries jumped by 20.3% year over year in October, slowing by 9.2 percentage points from the month before, showed the data.
The country’s exports of mechanical and electrical products fell 0.7% in October from a year earlier, marking the first annual drop in six months, showed the data, compared to the 5.8% gain in September.
In breakdown, exports of medical devices and equipments fell 13.9% on year, expanding by 3.7 percentage points; exports of integrated circuits fell 2.4%; exports of mobile phones grew by 7%, slowing by 16.2 percentage points; and exports of automobiles also slowed to 89.2%.
Exports of high-tech products fell 7.6% year over year in October, expanding by 6.5 percentage points from the month before, showed the data.
China’s exports of labor-intensive products slowed more significantly. Shipments of garments fell by 16.9% on year in October, expanding by 12.5 percentage points, while exports of suitcases and shoes/boots grew by 19.7% and 2.7%, respectively, slowing by 8.2 percentage points and 5.6 percentage points, respectively, showed the customs data.