China's Export Surge in June Defies Global Trade Tensions

China's exports grew 8.6% in June, surpassing forecasts despite trade tensions with the U.S. and Europe. Imports, however, declined by 2.3%. The trade surplus widened to $99 billion. Exports to ASEAN grew significantly, while shipments to the EU and U.S. showed modest changes. China's economic growth remains under pressure post-pandemic.

China's exports experienced a substantial rise in June, defying expectations and trade tensions, with an 8.6% increase from the previous year, reaching $307.8 billion, data from Chinese customs revealed Friday.

Despite the boost in exports, imports fell by 2.3% to $208.8 billion, contributing to a widened trade surplus of $99 billion, up from $82.6 billion in May. This growth occurred even as trade relations with the U.S. and Europe intensified, with both regions increasing tariffs on Chinese electric vehicles.

The Association of Southeast Asian Nations (ASEAN) remained a vital market, with exports to these countries growing by 10.7% year-on-year until June. Contrarily, exports to the U.S. and European Union showed marginal changes. Economists noted that while tariffs have limited impacts in the near term, broader economic strains persist, fueled by a slow recovery from the pandemic and global inflation control measures.

(With inputs from agencies.)