China has reported strong growth in both exports and imports in November in a reassuring sign for the world's second-biggest economy.
Exports rose 10.3 per cent in November in yuan terms, the customs administration said Friday. Output cuts by Chinese steelmakers have led to tighter supplies, pushing steel prices to multi-year highs and driving up prices of iron ore as mills and trades restock in anticipation for steel production recovery after March.
Similarly, imports surged 17.7% in November from a year ago, faster than the expected growth of 13.0%.
China's imports have been growing at a double-digit pace since January.
Export growth also beat, lifting by 12.3% over the same period in U.S. dollar terms, a sharp improvement on the 6.9% level of October and forecasts for an increase of 5%.
That left the country with a trade surplus of USA $40.21 billion for the month, according to a Reuters calculation based on official data.
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470,000 tonnes of copper were imported, up from 333,000 tonnes in October.
Iron ore imports also lifted, jumping to 94.54 million tonnes from 79.49 million tonnes in October.
China's trade surplus widened in November to $40.21 billion from $38.2 billion the previous month, exceeding the median forecast for a $34.2 billion surplus.?
Julian Evans-Pritchard, an analyst with research firm Capital Economics, expects exports to remain strong in the coming months on the back of resilient global demand.
"However, we are skeptical that the strength of imports can be sustained given that the delayed impact of policy tightening and a cooling property market are set to weigh on Chinese demand for commodities in coming quarters".