China's July export surge may point to more sustainable recovery
- China’s economy appeared to be gathering pace in July as exports rose the most this year while some raw material imports hit record highs, adding to hopes for a more sustained recovery.
- Exports in July increased 7.2% from a year earlier, the fastest pace since December last year, customs data showed on Friday, confounding analysts’ expectations for a 0.2% drop, and quickening from a 0.5% increase in June. Imports, on the other hand, fell 1.4%, missing market expectations for a 1.0% increase.
- The economy is gradually emerging from a record contraction in the first quarter but the recovery remains fragile as rising coronavirus cases around the world and renewed lockdowns could hit demand.
- Chinese consumer spending also remained subdued amid job losses and concerns about a resurgence in infections.