Published: Sat, July 13, 2019
Finance | By Loren Pratt

China imports from US plunge 31% in June amid tariff war

China imports from US plunge 31% in June amid tariff war

"Macroeconomic indicators of growth, employment and consumer prices are all in normal ranges", said Liu, the top economic aide to President Xi Jinping and China's top negotiator in trade talks with the Trump administration, according to the official state-run Xinhua News Agency.

China's foreign trade remained stable growth in the first half of this year by expanding 3.9 percent year-on-year.

China's imports and exports both fell in June, official data showed Friday, as weak demand at home and overseas hit trade in the world's second largest economy.

"It's a move to manage market expectations" when a lot of uncertainties, especially the trade war, are clouding China's economic outlook, said Raymond Yeung, chief Greater China economist at ANZ Bank.

June marked the first full month of higher USA tariffs on $200 billion of Chinese goods, which Washington announced weeks earlier after trade talks between the world's largest economies broke down.

It is unclear if Trump's statements are legitimate at this point since the Chinese government previously denied White House claims that it reneged on commitments that were part of the trade talks.

China bought 127,800 metric tons of U.S. soybeans last week, the equivalent of about two cargoes and a 79 per cent reduction from the previous week.

When it comes to Chinese purchases of US agricultural goods, signs are growing that President Donald Trump won't get what he wants anytime soon.

"It seems the two sides are arm-wrestling about the basis on which they'll resume talks, as well as when and where", said Zhou Xiaoming, a former commerce ministry official and diplomat. Export expanded 6.1 percent while import rose 1.4 percent, GAC data showed.

The U.S. has imposed tariffs on $250 billion in Chinese imports, drawing retaliatory sanctions from Beijing on $110 billion in U.S. products.

Trump accused Beijing on Thursday of backsliding on promises to buy more American farm goods.

Economists say even if a settlement with the reached, China's exports this year will be lackluster due to weak global demand, putting pressure on manufacturers that support millions of jobs.

Like this: