MOFCOM Released Report on China's Foreign Trade Situation (Autumn, 2010)

The Ministry of Commerce (MOFCOM) released Report on China's Foreign Trade Situation (Autumn, 2010) on Nov. 1. The Report makes a review on China's foreign trade performance in the first 3 quarters of 2010, analysis on its features, forecasts in 2010 as a whole and the outlook of China's foreign trade situation in 2o11.
According to the Report, recovery of the world economy remains slow, rapid growth of domestic economy continues, effects of policies on stabilizing export and expanding import have shown up, and the overall competitiveness of enterprises has further improved. In this background, during the first three quarters, China's foreign trade has shown a trend of recovery and relatively rapid growth. Besides, obvious achievements were reached in exploring overseas market, adjusting the structure, and promoting the balanced development. The import and export volume has surpassed the level in the same period of 2008, better than projection made at the beginning of 2010.
Currently, overall world economy remains under recovery. China's domestic economy is moving in the direction envisaged in the macro-economic control policy, and the recovery has been further consolidated, both of which create great environment for the constant growth of China's foreign trade in the fourth quarter of 2010. However, due to weaker overseas demand, slow rebound in the world's economy, increasing pressure of the yuan's appreciation, Chinese enterprises' productions and operations, the report forecasts that China's foreign trade in the fourth quarter will increase at a slower pace. Total volume of China's foreign trade is expected to hit US$ 2.8 trillion for the whole year of 2010, up 25 percent year on year.
The Report also pointed out what are favorable to China's foreign trade development, however, economic factors mixed with non-economic ones, increasing domestic factor cost, high pressure of enterprises' development and other uncertainties make prospect of China's foreign trade gloomy in the following year. It is predicted that China's foreign trade will keep growing in 2011 but at slower rate.