China’s trade surplus rockets as imports slump in May

Beijing, June 7 (IANS) China’s foreign exchange reserves climbed to record highs in May as imports and commodity prices plunged, the central bank showed on Sunday.

China’s foreign exchange reserves grew to $3.1017 trillion by the end of May, from $3.0915 trillion in late April, reports Efe news.

On the other hand, the value of gold reserves increased to $108.29 billion at the end of May from $106.67 billion in April.

China’s foreign trade dropped 4.9 per cent year-on-year in May, albeit less than expected, and imports plunged 12.7 per cent leaving a trade surplus of $62.93 billion, according to the State Administration of Foreign Exchange (SAFE).

During April, Chinese foreign trade had declined 0.7 per cent year-on-year resulting in an increase in Chinese international commercial activity.

In the January-February period, when the country was largely paralyzed by the crisis unleashed by the coronavirus, foreign trade recorded a 9.6 per cent year-on-year contraction.

The inter-annual decrease in March was 0.8 per cent.

–IANS

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