China’s imports and exports fell more sharply than expected last month as weaker global demand threatened the recovery prospects of the world’s second-largest economy.
China’s economy grew just 3% last year - apart from the slowdown when Covid struck, the weakest rate since 1976 - reflecting the toll from coronavirus restrictions that remained some of the most stringent in the world, long after many other countries had resumed more normal patterns.
Weaker economic growth overseas has also reduced foreign demand for Chinese goods, while geopolitical tensions between China and the US and others have taken a further toll on trade, encouraging international firms to shift investments out of the country.
China’s position as a major importer also means its sluggish trade performance is likely to have a knock-on effect on the global economy, said Steve Clayton, head of equity funds for investment firm Hargreaves Lansdown.
Prices for commodities from oil to copper slipped in response to the news, while shares in luxury goods producers such as LVMH - which have long looked to China for growth - also dropped.
China’s central bank has cut interest rates in recent months in a bid to boost the economy and regulators have also relaxed their scrutiny of key sectors such as the tech industry.
This is the best summary I could come up with:
China’s imports and exports fell more sharply than expected last month as weaker global demand threatened the recovery prospects of the world’s second-largest economy.
China’s economy grew just 3% last year - apart from the slowdown when Covid struck, the weakest rate since 1976 - reflecting the toll from coronavirus restrictions that remained some of the most stringent in the world, long after many other countries had resumed more normal patterns.
Weaker economic growth overseas has also reduced foreign demand for Chinese goods, while geopolitical tensions between China and the US and others have taken a further toll on trade, encouraging international firms to shift investments out of the country.
China’s position as a major importer also means its sluggish trade performance is likely to have a knock-on effect on the global economy, said Steve Clayton, head of equity funds for investment firm Hargreaves Lansdown.
Prices for commodities from oil to copper slipped in response to the news, while shares in luxury goods producers such as LVMH - which have long looked to China for growth - also dropped.
China’s central bank has cut interest rates in recent months in a bid to boost the economy and regulators have also relaxed their scrutiny of key sectors such as the tech industry.
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