Chinese companies sold more goods abroad again in April and imported them from there. Exports grew by 1.5 percent compared to the same month last year, according to data from the Beijing Customs Authority. Economists had expected an increase of this magnitude, after a slump of 7.5 percent in March. Imports rose by 8.4 percent – much more than expected.
According to observers, imports also increased because many companies stocked up on raw materials in anticipation of rising prices. For example, eleven percent more coal was imported in April than a year before. In addition, many Chinese exporters have reduced their prices to offset weak domestic demand by doing business abroad. At the same time, the country’s factories produce too much – regardless of whether there are buyers or not. US Treasury Secretary Janet Yellen recently criticized this.
At the same time, the People’s Republic’s economy also benefited from a better global economy: the industrialized nations organization OECD, for example, just raised its forecast for global gross domestic product growth this year from 2.9 to 3.1 percent. The People’s Republic has set itself a target of economic growth of around five percent for 2024, which many analysts believe will be difficult to achieve without additional incentives.