Chinese customs authorities announced Jan. 10 that China’s trade surplus rose nearly 50 percent in 2007 to a new high of $262.2 billion. Exports rose 25.7 percent to $1.218 trillion while imports rose 20.8 percent to $955.8 billion. While China’s monthly surplus narrowed somewhat in the fourth quarter, dropping from $26.3 billion in November to $22.7 billion in December, experts still expect record growth for China in 2008.
China’s largest trade surplus in 2007, which Beijing said totaled $163.3 billion, was with the U.S., which blames China’s currency controls and import restrictions. Critics continue to allege that the undervaluation of the yuan gives Chinese exporters an advantage over their foreign competitors and contributes to the growth of China’s trade surplus. News reports said the yuan rose in value to a new record high against the U.S. dollar Jan. 12 but that this move may be insufficient to stem efforts by U.S. legislators to impose punitive measures against China.
Experts have noted that despite numerous safety-related recalls of Chinese-made products in 2007, their low cost supported the strong demand that drove the increase in the country’s exports. China’s leading exports in 2007 were technology equipment, apparel and steel, according to news reports. Its biggest imports were goods to build its infrastructure.
World Trade/Interactive
