CHINA'S trade surplus fell 53.5 percent from a year earlier in January with imports growing faster than exports, easing pressure for a stronger yuan.
The trade surplus was cut more than expected to US$6.45 billion last month, the General Administration of Customs said yesterday.
Imports climbed 51 percent to US$144.28 billion, while exports expanded 37.7 percent to US$150.73 billion. Both picked up dramatically from that in December when imports rose 25.6 percent and exports gained 17.9 percent.
The customs said the quicker pace was a result of front-loaded trade activities before the Spring Festival holiday.
China's trade has been restored to the level prior to the global financial crisis in 2008. But China is still determined in its 12th Five-Year Plan, which began this year, that it should trim reliance on exports and depend on domestic consumption to power its economy.
Li Maoyu, an analyst at Changjiang Securities Co, said robust trade helped China to earn more time for that transition.
"Exports remain a heavy weight in China's economy so far," Li said. "Faster trade growth can compensate China's slowing pace because of the economic restructuring."
Vice Commerce Minister Zhong Shan said China aims to strengthen its position as a big trader in the current decade although the country will try hard to boost domestic consumption.
He said China won't curb exports to balance its trade. Instead, it will try to bolster imports and outbound foreign investment, as well as boost trade in services.
The smaller surplus, although welcome, may not be very helpful to ease tension over the yuan's value, said Chang Jian, an economist at Barclays Capital.
According to Bloomberg, finance chiefs from the Group of 20 nations are likely to discuss the yuan's value in Paris this week and United States lawmakers are reintroducing legislation targeting China.
But Yi Gang, vice governor of the central bank, said at the weekend that China's yuan exchange rate is at the "right level."
"The exchange rate will certainly show some fluctuation in the future as markets and labor productivity change," said Yi, who is also heads the State Administration of Foreign Exchange.
The yuan ended at 6.59 per dollar yesterday and has appreciated more than 3.5 percent since last June when China announced it was relaxing its control over the exchange regime.
China's trade surplus declined 6.4 percent year on year in 2010 to US$183.1 billion.
Source:Shanghai Daily
The trade surplus was cut more than expected to US$6.45 billion last month, the General Administration of Customs said yesterday.
Imports climbed 51 percent to US$144.28 billion, while exports expanded 37.7 percent to US$150.73 billion. Both picked up dramatically from that in December when imports rose 25.6 percent and exports gained 17.9 percent.
The customs said the quicker pace was a result of front-loaded trade activities before the Spring Festival holiday.
China's trade has been restored to the level prior to the global financial crisis in 2008. But China is still determined in its 12th Five-Year Plan, which began this year, that it should trim reliance on exports and depend on domestic consumption to power its economy.
Li Maoyu, an analyst at Changjiang Securities Co, said robust trade helped China to earn more time for that transition.
"Exports remain a heavy weight in China's economy so far," Li said. "Faster trade growth can compensate China's slowing pace because of the economic restructuring."
Vice Commerce Minister Zhong Shan said China aims to strengthen its position as a big trader in the current decade although the country will try hard to boost domestic consumption.
He said China won't curb exports to balance its trade. Instead, it will try to bolster imports and outbound foreign investment, as well as boost trade in services.
The smaller surplus, although welcome, may not be very helpful to ease tension over the yuan's value, said Chang Jian, an economist at Barclays Capital.
According to Bloomberg, finance chiefs from the Group of 20 nations are likely to discuss the yuan's value in Paris this week and United States lawmakers are reintroducing legislation targeting China.
But Yi Gang, vice governor of the central bank, said at the weekend that China's yuan exchange rate is at the "right level."
"The exchange rate will certainly show some fluctuation in the future as markets and labor productivity change," said Yi, who is also heads the State Administration of Foreign Exchange.
The yuan ended at 6.59 per dollar yesterday and has appreciated more than 3.5 percent since last June when China announced it was relaxing its control over the exchange regime.
China's trade surplus declined 6.4 percent year on year in 2010 to US$183.1 billion.
Source:Shanghai Daily
