Chinese Export Soars in November, hits record US$75 billion

China’s trade surplus spurred to a record US$75.4 billion in November. Chinese exports surged 21.1 percent over a year earlier following the boost of American consumer demand.

The US customs data on Monday, December 7, 2020, highlighted that exports to the United States rose 46 percent from China, despite lingering tariff hikes in a trade war.

Total exports of Chinese goods rose to $268 billion, accelerating from October’s 11.4 percent growth. Similarly, imports grew by 5 percent to $192.6 billion, up from 4.7 percent in October.

Chinese exporters have benefited from the economy’s relatively early reopening after the Communist Party of China declared the coronavirus pandemic came under control in March. However, foreign competitors still are hampered by anti-disease controls.

China’s global trade surplus for the first 11 months of 2020 is $460 billion, up 21.4percent in comparison to the previous year. This is already one of the highest ever recorded to Nepali northern neighbor.

However, Nepal’s trade with China decreased on a year-on-year basis during the first four months of the current fiscal year 2020-21, data from Nepal’s Department of Customs.

The trade declined by over 25 percent to 508 million U.S. dollars in the first four months of this fiscal year compared with 680 million U.S. dollars in the same period of the last fiscal year.

China is the second-largest trading partner of Nepal after India. China has currently closed its check point connecting Nepal due to the surge of the Covid.

Chinese exports to the United States spiked to $51.9 billion while imports of American goods grew 33 percent to $14.6 billion. The trade surplus with the United States swelled 52percent over a year earlier to $37.3 billion.

Beijing promised to buy more American soybeans, natural gas, and other exports as part of the “Phase 1” agreement signed in January and aimed at ending a costly tariff battle over Chinese technology ambitions. China fell behind on meeting those commitments earlier in the year but is catching up as demand rebounds.

China is on track to become the only major economy to grow this year while activity in the United States, Europe, and Japan falls.

The Chinese economy shrank by 6.8 percent compared to the previous year in the first three months of 2020 after factories, shops, and offices were shut down to fight the pathogen. Growth rebounded to 3.2 percent in the second quarter and accelerated to 4.9 percent in the three months ending in September.

Also, in November, exports to the 27-nation European Union rose 8.6percent over a year ago to $37.5 billion imports of European goods grew 4.5percent to $26.2 billion. The trade surplus with Europe widened by 20 percent to $11.3 billion.