Total Export and Import Volume in China for the First Half of the Year 3199 Trillion Won, Up 27.1% Year-on-Year (Comprehensive)

Exports to the US up 31.7%, imports from the US up 43.9%, agricultural imports up 120.8% amid US-China tensions
Uncertain if export growth will continue in the second half... many challenges including variant viruses

[Asia Economy Beijing=Special Correspondent Jo Young-shin] China’s total import and export volume (trade volume) in the first half of this year has surpassed the pre-COVID-19 level.

The General Administration of Customs of China announced that the total import and export volume in the first half of this year reached 18.07 trillion yuan (KRW 3199 trillion), an increase of 27.1% compared to the same period last year. The total import and export volume in the first half of this year increased by 22.8% compared to 2019.

The export volume in June was 9.85 trillion yuan, up 28.1% year-on-year, and the import volume was 8.22 trillion yuan, up 25.9%. In dollar terms, exports increased by 32.2% and imports by 36.7%, respectively.

Li Kuiyuan, spokesperson for the General Administration of Customs, explained, "China’s total import and export volume has maintained an increasing trend for 13 consecutive months."

◆ Surge in trade with the U.S. amid U.S.-China tensions = The General Administration of Customs explained that China’s trade with the U.S. increased by 34.6%, ASEAN by 27.8%, and the European Union (EU) by 26.7% compared to the same period last year.

The General Administration of Customs emphasized that despite U.S.-China tensions, exports to the U.S. increased by 31.7% and imports from the U.S. increased by 43.9%. In particular, imports of U.S. agricultural products rose by a staggering 120.8% year-on-year. The significant increase in imports of U.S. agricultural products indicates that China is implementing the Phase One trade agreement with the U.S.

Chinese economic media Caixin evaluated that China’s import and export performance exceeded market expectations.

Spokesperson Li explained the higher-than-expected import and export performance by saying, "The stable recovery of the domestic economy and the increase in external demand due to the global economic recovery have driven imports and exports."

Above all, although there were concerns that sporadic COVID-19 outbreaks in Guangdong Province and other areas might disrupt port logistics systems and cause problems in imports and exports, it appears that the actual import and export cargo volume was not significantly affected.

◆ Uncertain outlook for China’s exports in the second half = It is uncertain whether China’s economy will continue the same growth as in the first half. There are too many unpredictable variables such as the sharp rise in international raw material prices leading to increased manufacturing and production costs, and the global economic recession caused by the resurgence of the COVID-19 Delta variant.

Bai Ming, deputy director of the International Market Research Institute at the China Academy of International Studies, said, "Considering the domestic and international environment China faces, such as rising manufacturing and production costs, the resurgence of infectious diseases, and U.S.-China tensions, it will not be easy to achieve the same results in the second half as in the first half," adding that "manufacturers’ production costs have already increased due to the sharp rise in raw material prices."

For this reason, warnings are emerging within China that the growth rate of exports and imports may slow down in the second half.

Spokesperson Li said, "The whole world is facing unstable situations such as the resurgence of COVID-19," and explained, "Considering the uncertainties, the Chinese government is preparing various support measures, including increasing corporate loans."

This content was produced with the assistance of AI translation services.