Last month, China's exports exceeded market expectations significantly and showed positive performance. Foreign media interpreted this as a result of corporations proactively increasing their import volumes from China due to concerns over U.S. tariff imposition.
According to the General Administration of Customs of China on the 7th, China's exports in July amounted to $32.178 billion (approximately 445 trillion won), a 7.2% increase compared to the same period last year. This figure greatly surpasses market expectations of a 5.4% to 5.6% increase and is also higher than June's performance of a 5.8% increase.
During the same period, imports were $22.354 billion (approximately 305 trillion won), representing a 4.1% increase compared to the previous year. The market had anticipated a 1% decrease.
China's total trade volume in July was $54.532 billion (approximately 755 trillion won), which is a 5.9% increase compared to the same period last year, and it recorded a trade surplus of $9.824 billion (approximately 136 trillion won).
The trade volume with the United States, which is engaged in a tariff war, noticeably decreased. From January to July, the total trade volume decreased by 12% compared to the previous year, with exports down 12.6% and imports down 10.3%. The trade reduction rate with the U.S. until June was 10.4% (10.9% decrease in exports, 8.7% decrease in imports), indicating that the decline further intensified in July.
With the European Union (EU), imports decreased by 5.2% while exports increased by 7% from January to July. Overall, it increased by 2.8% compared to the previous year.
Regarding Korea, exports decreased by 1.1% while imports increased by 0.3%. Japan saw exports and imports increase by 4.4% and 3.5%, respectively, while Russia experienced decreases of 8.5% and 7.7%.
In the case of rare earth elements, for which China implemented export control measures, a total of 38,563.3 tons were exported from January to July, an increase of about 4,000 tons compared to the same period last year. However, it was reported that the export volume in July dropped sharply by 22.6% compared to the previous month.
Bloomberg News analyzed that "global demand remains a significant growth driver for the Chinese economy" and noted that "corporations are rushing to import goods from China as quickly as possible due to concerns over tariff imposition, resulting in China's exports reaching record levels." It also stated, "The question remains whether the strength in exports will continue even after this preemptive increase in exports diminishes."