China's Exports Grow 7% In July, Less Than Forecasts

China’s exports grew by 7% in July compared to a year earlier, falling short of economists’ expectations for growth closer to 10%, as reported by Elaine Kurtenbach for the Associated Press (AP).

China's slower growth is attributed to trade tensions and weakening demand from the US and other major markets.

The slower growth is attributed to trade tensions and weakening demand from the US and other major markets.

Imports also rose, climbing 7.2% to $215.9 billion, bolstered by stronger trade with other Asian countries. Exports to the US saw a modest increase of 2.4% year-on-year, while shipments to Southeast Asian countries, now Beijing's largest trading partner, jumped 11%.

Overall, exports totaled $300.6 billion in July, expanding at the slowest pace in three months.

The trade surplus for July was $84.7 billion, down from a record $99.1 billion in the previous month, though it still rose nearly 8% in January-July compared to the same period last year.

For the first seven months of the year, China’s exports climbed 4% from a year earlier, while imports increased by a sluggish 2.8%, reflecting muted consumer demand.

Looking ahead, China’s exports are expected to weaken further due to significant US and European tariffs on electric vehicles.

Reports indicate that freighters have been carrying large shipments of vehicles to European ports in an attempt to beat these duties, with vehicle exports rising 18% in the first seven months of 2024 compared to the same period in 2023.