A strengthening U.S. recovery is helping underpin China’s outlook as Asia’s biggest economy seeks to cut excess capacity and transition to reliance on domestic consumption rather than debt-fueled infrastructure spending.
China’s exports surged more than 48 percent in February from a year earlier, exceeding the median analyst forecast for a 14 percent jump, led by sales to the U.S. and Europe. While that number was skewed by distortions from the timing of the Lunar New Year holiday, the combined figure with January still showed overseas sales rose 15 percent. The government is targeting a 6 percent gain in trade for 2015.
Strength in external demand may help Premier Li Keqiang achieve the economic growth target of about 7 percent for 2015 he announced in his work report to the annual National People’s Congress session last week. Still, weaker import numbers reflected headwinds facing the world’s second-biggest economy.
“Chinese exports are humming along, which is a relief as the domestic investment momentum is struggling,†said Yao Wei, a Paris-based China economist at Societe Generale SA.
The trade surplus for February was $60.6 billion, above January’s record of $60 billion, the customs administration said in Beijing Sunday. Exports to the U.S. in the first two months jumped 21 percent in yuan terms. Shipments to Association of Southeast Asian Nations rose 38 percent.
