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    Stable Growth Of Foreign Trade Reflects Three Major Positive Changes In China'S Economy

    2019/4/15 12:19:00 11453

    First QuarterChina'S Foreign TradeData

    China's foreign trade data came out on the 12 day in the first quarter.

    Although the growth rate of 3.7% is lower than that of 9.4% in the same period last year, it is rare to achieve this growth in the overall downturn of Global trade and the continuing trade frictions.

    Especially in the month of March, China's exports increased by 21.3% over the same period last year, significantly better than market expectations.




    Behind the steady growth of foreign trade reflects three major positive changes in China's economy.




    - economic operation indicators rebound




    Trade is a barometer of the domestic economy.

    China's foreign trade remained stable throughout the first quarter, which is directly related to the stabilization of domestic economy.




    Some indicators have already recovered: in March, China's Manufacturing Purchasing Managers' index and non manufacturing business activity index both rose, especially the manufacturing PMI rose to 50.5%, and then returned to the expansion interval after three months. In the same period, the PMI of Caixin manufacturing industry also hit a 8 month high.




    In the first two months, the output of China's excavators increased by 52.3% over the same period last year, and the growth rate was 4.4 percentage points faster than that of last year. The acceleration of the "excavator index" reflected the rebound in infrastructure investment, and the growth rate of fixed asset investment was also higher than that of last year.




    The market is also optimistic about China's economic prospects.

    Xie Yaxuan, a macroeconomic analyst at China Merchants Securities, said that the current economic situation in China may be better than expected.

    The International Monetary Fund (IMF) recently raised the expected growth rate of China's economy from 6.2% to 6.3% while reducing its expected global economic growth in 2019.

    As China's economy further shows positive changes, there will be more favorable conditions for the development of trade.




    - increasing vitality of private economy




    In 2018, the contribution of private enterprises to the growth of China's imports and exports has exceeded 50%, which has become a bright spot in the development of foreign trade.

    In the first quarter of this year, the pulling effect of private enterprises on China's foreign trade has become increasingly prominent.




    According to official figures, the total import and export volume of China's private enterprises reached 2 trillion and 840 billion yuan (RMB, the same below) in the first quarter, an increase of 9.9% over the previous year, accounting for 40.6% of China's total foreign trade, the first time to exceed 40%, an increase of 2.3 percentage points over the same period last year.

    Among them, the export volume of private enterprises accounted for 49.3% of China's total exports, and imports accounted for 30.4% of total imports.




    Li Kuiwen, spokesman of the General Administration of customs, said that private enterprises have become the main force to boost China's import and export growth, and the market players' motive force to participate in foreign trade development is stronger.




    According to the government's work report, China will adopt a series of measures this year to provide a favorable environment for enterprises to develop, including large-scale tax reduction and tax reduction, increase the directional reduction of small and medium-sized banks, ease the financing difficulties of private and small and micro enterprises, further reduce the examination and approval matters, and speed up the clearance of various regulations and practices that hinder fair competition.




    Analysts believe that under the favorable policies, this year, private enterprises will further enhance their ability to withstand pressure and are expected to perform better in foreign trade activities.




    Enhancing competitiveness of high-end products




    Another embodiment of China's foreign trade and even the entire Chinese economy's quality and efficiency is that the competitiveness of products such as automobiles, mobile phones and other products with higher added value is stronger and stronger.




    At present, the export volume of mechanical and electrical products accounts for nearly 60% of China's total exports, which is three times more than that of clothing intensive, textile and other labor-intensive products, and is an indisputable main force for export.

    Among them, mobile phones, cars, computers and other popular overseas.

    According to the General Administration of customs, China's computer equipment, metalworking machine tools and automobile exports increased by 10.5%, 26.5% and 15.1% respectively in the first quarter.

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