Official data released on Friday revealed that China’s total imports and exports surged at the fastest rate in six quarters, reaching a record of over 10 trillion yuan ($1.38 trillion) in the first quarter of 2024. This milestone adds to the mounting evidence of robust recovery momentum in the world’s second-largest economy.
In line with the overall acceleration of economic recovery, Chinese officials expressed optimism about continued growth in foreign trade for the first half of 2024, anticipating a full-year recovery despite challenges and Western assertions regarding overcapacity in China.
While external pressures and challenges persist, including slowing global demand and Western-led de-risking efforts, experts underscored the enduring significance of Chinese manufacturing and its supply chain in the global industrial framework.
According to the General Administration of Customs (GAC), total imports and exports in yuan terms grew by 5 percent year-on-year to surpass 10 trillion yuan, marking the fastest growth rate in six quarters. Exports rose by 4.9 percent to 5.74 trillion yuan, while imports increased by 5 percent to 4.43 trillion yuan during the same period.
Although total foreign trade dipped by 1.3 percent year-on-year in March, with exports declining by 3.8 percent due to a high base comparison, officials and experts noted the solid growth momentum sustained by China’s exports.
Wang Lingjun, deputy head of the GAC, highlighted the robust start and momentum of China’s foreign trade in the first quarter, laying a strong foundation for achieving both qualitative improvement and quantitative stability.
Exports of mechanical and electrical products notably increased by 6.8 percent year-on-year, accounting for 59.2 percent of the total export value. Additionally, exports of automobiles and ships surged by 21.7 percent and 113.1 percent, respectively.
The private sector also played a pivotal role in the solid recovery, with imports and exports growing by 10.7 percent year-on-year in the first quarter, representing 54.3 percent of China’s total imports and exports.
Companies engaged in cross-border e-commerce particularly thrived, witnessing significant growth this year, according to Zhu Qiucheng, CEO of Ningbo New Oriental Electric Industrial Development.
Furthermore, China’s trade with ASEAN expanded by 6.4 percent year-on-year, while trade with the EU and the US faced declines. Notably, exports to the US grew by 2.1 percent year-on-year, despite a decrease in imports.
Hu Qimu, a deputy secretary-general of the Digital-Real Economies Integration Forum, emphasized that the latest data underscored China’s manufacturing industry and real economy’s resilience and recovery.
Despite geopolitical tensions and trade protectionism posing challenges, Chinese officials and experts remain optimistic, expecting further improvement in China’s trade in the second quarter and continued growth in the first half of the year. They refuted claims of overcapacity, asserting the quality and innovation of Chinese products as driving factors behind their global popularity.