China Trade Data Shows Modest Improvement in Exports and Import Resilience

Exports declined more slowly in September than in previous months, showing a modest improvement. But demand remains weak across major trading partners like the US and EU.

Import volumes were largely unchanged in September despite an overall decline. This points to resilience in demand for construction commodities like iron ore.

The trade surplus widened in September to $77.7 billion, giving China room to manage its exchange rate.

Analysts expect import growth to pick up with infrastructure investment, but see exports pulling back further due to weak foreign demand.

China will likely rely more on domestic demand, with fiscal and monetary support needed to sustain the recovery amid weak external demand.