China's trade surplus with US grew, while global gap shrank

In this Tuesday, June 5, 2018 photo, a worker assembles air conditioner's components next to the robot arms at a factory in Suixi county in central China's Anhui province. China's politically sensitive trade surplus with the United States widened in May from a year earlier while its global trade gap shrank as imports accelerated. The latest reading on trade comes amid U.S. pressure on Beijing over its trade surplus and technology policy. (Chinatopix via AP)

BEIJING — China's political sensitive trade surplus with the United States widened in May from a year earlier, while its total global surplus shrank as imports accelerated.

Imports rose 26 percent from a year ago to $187.9 billion, up from April's 21.5 percent growth, customs data showed Friday. Exports rose 12.6 percent to $212.9 billion, little changed from the previous month's 12.9 percent.

China's trade gap with the United States widened by 12 percent to $24.6 billion. The country's global surplus narrowed by 39 percent to $24.9 billion.

"With global growth now past its peak, Chinese export growth is trending down," said Julian Evans-Pritchard of Capital Economics in a report. "But progress in U.S.-China trade negotiations raises hopes that a sharp downturn in shipments can be avoided."

President Donald Trump has threatened tariff hikes on up to $150 billion of Chinese goods in disputes over Beijing's trade surplus with the United States and technology policy.

Tension eased Thursday when the United States agreed to lift a ban on access to U.S. companies for a Chinese technology company, ZTE Corp. But the two sides still are embroiled in a broader dispute.

Beijing has cut import duties on automobiles and some consumer goods and to ease curbs on foreign ownership in its auto industry.

"Even if a trade war is avoided, Chinese trade growth is still likely to edge down over the coming year as the global economy loses momentum," said Evans-Pritchard.

Must Read

China's electric vehicle industry shaken by...

Sep 13, 2016

China's electric vehicle industry, a flagship for Beijing's technology ambitions, has been rocked...

Tesla's Autopilot system under scrutiny in fatal...

Sep 15, 2016

Tesla faces new scrutiny in China about its vehicle Autopilot system after state television...

Asian shares mixed as investors consider latest...

Jan 5, 2017

Asian stock indexes mixed as investors assess latest Fed meeting minutes; Japan shares slip as yen...

DEA opens shop in China to help fight synthetic...

Jan 6, 2017

The U.S. Drug Enforcement Administration plans to open a new office in southern China and, at...

IMF raises China growth forecast but warns on debt

Jan 16, 2017

The International Monetary Fund has raised its growth forecast for China but warned that rising...

Sign up now!

Advertisement