China'S First Quarterly Trade Deficit In 6 Years

China Customs General Administration released yesterday's import and export statistics show that the first quarter of this year China

According to the data released by the General Administration of customs, China's import and export value in the first quarter of this year was 800 billion 300 million US dollars, an increase of 29.5% over the same period last year. Of them, exports amounted to US $399 billion 640 million, an increase of 26.5% over the same period last year, and imports of US $400 billion 660 million, an increase of 32.6% over the same period last year. The trade deficit in the first quarter was 1 billion 20 million US dollars.

This is the first time China has seen a quarterly trade deficit in 6 years.

China's trade surplus reached US $13 billion 910 million in the first quarter of 2010.

In March, the total value of China's imports and exports was 304 billion 260 million US dollars, an increase of 31.4%.

Of which, exports of US $152 billion 200 million, an increase of 35.8%, and imports of US $152 billion 60 million, once again set a record of 144 billion 320 million US dollars in January this year, an increase of 27.3%.

In March, the trade surplus was 140 million US dollars.

According to the General Administration of customs, the trade deficit in the first quarter was mainly affected by the rapid growth of the domestic economy, the sharp rise in the international market commodity prices and the long holiday of the Spring Festival. The strong growth of imports led to the trade deficit.

Data show that in the first quarter of this year, the import value of US $400 billion 660 million not only reached a record high, but also for the first time exceeded US $400 billion, an increase of 5.1% over the fourth quarter of last year, an increase of 32.6% over the same period last year.

Obviously, the trade deficit in the first quarter was largely due to the sharp increase in total imports.

"The growth rate of imports in China in the first quarter is six percentage points higher than that in exports. China's policy of promoting trade balance is playing a role."

Li Jian, a researcher at the Ministry of Commerce and international trade and Economic Cooperation Research Institute, said that the Ministry of Commerce will hold a conference on expanding imports in April to study the policy of expanding imports.

Li Jian believes that lowering the import tariffs, increasing the interest input to the import of high-end technology equipment and facilitating imports will be the three directions of China's package of "promoting the export" policy.

Zhou Shijian, a senior researcher at the Sino US Relations Research Center at Tsinghua University, saw a deficit in China's foreign trade in the first quarter, which could be effectively alleviated.

The year-round trade surplus continued to narrow.

Although many experts believe that the trade deficit in the first quarter is temporary, the trend of narrowing of the trade surplus this year will continue to be basically reached in the industry.

Zhou Shijian said that the first quarter was the off-season export season, and the peak season of China's exports concentrated from July to October. Therefore, the trade deficit in the first quarter could not represent the trend of deficit in the future.

Analysts pointed out that China's trade deficit in the first quarter is temporary. With the weakening of seasonal factors, the trade surplus will continue, but the growth will narrow and gradually become a balance.

Lu Zhiming, a researcher at the Bank of Communications (601328) Financial Research Center, released yesterday's report that the growth rate of imports will continue to rise along with the growth rate in April. Although the trade deficit will turn into a favorable balance in April, the trend of narrowing of the trade surplus will continue for the whole year. He expects that the trade surplus in 2011 will be narrowed to around us $120 billion.