Poor global demand and Coronavirus lockdowns in China have caused a massive slump in Chinese foreign trade.
Exports, calculated in U.S. dollars, surprisingly fell by 8.7 per cent in November compared to the same month in 2021 which is the sharpest decline since the start of the pandemic.
It was the second consecutive monthly decline. Customs also reported in Beijing on Wednesday that imports fell by as much as 10.6 per cent, much more than forecast.
However, foreign trade fell by 9.5 per cent overall.
A major reason for the decline in exports is weak global demand due to high inflation and energy prices because of the Russian war of aggression in Ukraine.
The disruption of supply chains in China was due to the restrictions previously put in place as a result of China’s strict zero-COVID policy also hampered production in the world’s second-largest economy.
“The stubborn adherence to the zero-COVID policy in China and a weakening of the global economy in recent months is now also showing through in Chinese foreign trade figures,’’ said Jens Hildebrandt, executive board member of the German Chamber of Commerce (AHK) in Beijing.
He said the November lockdowns had disrupted supply chains and affected people’s willingness to consume in China, causing the sharp drop in imports.
