China trade figures disappoint with lowest surplus in over a year – TradeTheNews

FXStreet (Barcelona) - The TradeTheNews Team reviews the disappointing Chinese trade balance data release and further shares the comments of the customs bureau.

Key Quotes

“Last week, a Chinese press report citing a Customs official foreshadowed soft trade activity by calling for additional policy support to revive the sector, and today's official trade data justified the pessimism.”

“Trade surplus was the lowest in over a year, as both exports and imports were down by double digits at -15.0% v +9.0%e and -12.7% v -10.0%e respectively.”

“Soft external demand was visible in all regions, with shipments to US falling 8%, EU by 19%, and Japan by 25%. Imports decline was also notable considering sequential improvement in iron ore and crude oil shipments.”

“After the release, China customs noted that while Q1 disappointment was attributed to seasonality around the Lunar New Year, Q2 will see some improvement despite ongoing uncertainty.”

“Customs bureau added imports drop was due to lower commodity prices, and the govt will work to meet broader 2015 targets.”

“China Mar Trade Balance: $3.1B V $40.1BE (lowest since Feb 2014)”