China’s Imports Leap, Cutting Trade Surplus
Reuters reports that China’s imports surged by 35% in August over last year:
The unexpectedly big increase in imports also dented China’s politically contentious trade surplus ahead of U.S. Congressional hearings next week on whether to punish Beijing for what many in Washington see as an unfairly undervalued yuan.
Wang Hu, an economist with Guotai & Junan Securities in Shanghai, said the import figures along with robust car sales data suggested that China’s economy had touched bottom in August.
“As European and U.S. economic growth has slowed since the second quarter, China may again lead the global recovery,” Wang said.