Chinese exports fall due to lower number of shipments from that country to the United States

By Drafting PortalPortuario.cl/Agencia Reuters

@PortalPortuario

China's exports showed a contraction due to a lower amount of shipments to the United States, another of the effects of the so-called Trade War.

In this context, according to the agency published ReutersChina is expected to take action in the coming weeks, in order to avoid the risk of a strong economic slowdown by increasing trade pressure from the United States, including the first cuts of the last four years in some of The main types.

The Chinese Central Bank on Friday lowered the requirements for bank reserves for the seventh time since the beginning of 2018, with the intention of releasing more funds for loans, days after a cabinet meeting said that a greater relaxation of monetary policy would be imminent.

Exports fell by 1% in August compared to the same month of the previous year, the lowest since June, when they decreased by 1.3%, according to customs data published on Sunday. In a Reuters poll, analysts expected a 2.0% increase after the 3.3% rise in July.

Despite analysts' expectations that the fall of the yuan would compensate for cost pressure and impending tariffs, it is possible that some Chinese exporters have advanced or “anticipated” shipments to the US in August, a trend that You have noted previously in the trade dispute.

China let its currency fall below 7 units per dollar in August, for the first time since the global financial crisis, and Washington called it a currency manipulator.

"Exports remain weak despite a substantial depreciation of the yuan, indicating that the weakness of external demand is the most important factor affecting exports this year," he said Zhang Yi, economist at Zhong Hai Sheng Rong Capital Management.

Among its main trading partners, Chinese exports to the United States fell 16% year-on-year in August, which represents a sharp slowdown from the 6.5% drop in July. Imports from the United States fell 22.4%.