China's September export and import performance beat market expectations. The share of exports to the United States fell below 10%, and exports to Southeast Asia, Africa, and India filled the gap. Experts analyzed this as the result of China reducing its export dependence on the United States and opening new markets.
On the 13th, according to China's General Administration of Customs, China's September exports totaled $328.57 billion (about 470 trillion won), up 8.3% from a year earlier, beating the market consensus compiled by Reuters (up 6%). Imports during the same period were $238.12 billion (about 341 trillion won), up 7.4% year over year. This also far exceeded the market expectation (up 1.5%).
Total trade in September was $566.68 billion (about 811 trillion won), up 7.9% from a year earlier, and the trade surplus came to $90.45 billion (about 129 trillion won). Reuters analyzed that, with the U.S.-China trade agreement showing no significant progress, Chinese manufacturers secured demand outside the United States.
In fact, China's dependence on exports to the United States is steadily declining. According to Bloomberg, China's exports to the United States in September fell 27% from a year earlier. In contrast, exports to Africa rose 56% during the same period, and those to Southeast Asia increased 15%.
Xu Tianchen, an economist at the Economist Intelligence Unit, told Reuters, "The United States now accounts for less than 10% of China's direct exports," and "it is clear that Chinese corporations are opening new markets by leveraging their expense advantages."