12.8 C
Hamburg
Friday, June 5, 2020
Home News Traders rush to beat higher tariffs - China numbers boosted

Traders rush to beat higher tariffs – China numbers boosted

China reported much stronger-than-expected exports for October as shippers rushed goods to the United States, its biggest trading partner, racing to beat higher tariff rates due to kick in at the start of next year.

Import growth also defied forecasts for a slowdown, suggesting Beijing’s growth-boosting measures to support the cooling economy may be slowly starting to make themselves felt.

The upbeat trade readings from China offer good news for both those worried about global demand and for the country’s policymakers after the economy logged its weakest growth since the global financial crisis in the third quarter.

October was the first full month after the latest U.S. tariffs on Chinese goods went into effect on Sept. 24, in a significant escalation in the tit-for-tat trade battle.

But analysts continue to warn of the risk of a sharp drop in U.S. demand for Chinese goods early in 2019, with all eyes now on whether presidents Donald Trump and Xi Jinping can make any breakthroughs on trade when they meet later this month.

“The strong export growth in October was buoyed by front-loading activities by exporters…,” said Iris Pang, Greater China Economist at ING in Hong Kong, noting the month is traditionally quieter due to long holidays.

“We expect exports to remain strong toward the end of the year as businesses are afraid of a failure in the Trump-Xi meeting, which could lead to broader tariffs on more Chinese goods from the U.S.,” Pang said.

Container ship rates from China to the U.S. West Coast remain near record highs, suggesting shipments will remain solid well into November and possibly early December. China’s exports to the U.S. rose 13.2 percent from a year earlier in October.

Read more on Reuters.

- Advertisment - LR Sustainability Decarbonisation Digital Adverts

Latest Posts

ZMPC cranes deal boosts the port of Piraeus

COSCO Shipping Ports and Shanghai Zhenhua Heavy Industries (ZPMC), a heavy-duty equipment manufacturer, have signed a contract for three ship to shore (STS) cranes...

Index shows bunker prices steadily increasing

With crude oil prices steadily climbing in price after the April shocks the bunker fuel prices have, as expected, followed suit and have edged...

MSC Rosa M damages Mumbai crane

The 14,000TEU MSC Rosa M has hit and seriously damaged a crane at the DP World terminal in Nhava Sheva, NSIGT in Mumbai, while...

New distribution centre opens near APM Terminals Mobile

Automotive lift producer BendPak has opened a new distribution centre near APM Terminals Mobile to serve US Gulf, Midwest, East coast and Canadian markets...

Leading shipping lines reveal rates changes in various regions

Major shipping lines are moderating their rating strategy amid the Covid-19 pandemic, which has caused serious reductions in market demand. Given that the key...