The growth of factory production in China slowed in April, but it showed durability indicating that government support measures may have alleviated the impact of trade war with the United States that threatens to obstruct momentum in the second largest economy in the world.
The data of the National Bureau of Statistics showed today, Monday, that industrial production grew by 6.1% in April on an annual basis, slowly from growth on an annual basis by 7.7% in March, but exceeded the increase of 5.5% expected in a Reuters poll.
Pre -support
“The durability in April is partly due to the financial support loaded in advance,” said Tianchin Show.
The data came in the wake of more stable exports than expected earlier this month, which economists said are supported by two exports who re -direct shipments and countries that buy more materials from China amid rearranging global trade due to customs duties imposed by US President Donald Trump.
However, Tianchin said on Monday data confirmed the shock caused by the American anti -customs tariffs, adding that “despite the rapid growth of industrial added value, the value of delivery of exports is almost stagnant.”
Beijing and Washington reached a sudden agreement last week to cancel most of the customs duties that each of them imposed on other goods since early April, and a 90 -day truce led to curbing the trade war that disrupted global supply chains and sparked recession.
Dungery
“China’s foreign trade overcomes difficulties, maintains steady growth, and shows great durability and international competitiveness,” Fu Ling Hoy spokesman said at a press conference today.
He added that reducing commercial escalation would benefit the growth of bilateral trade and global economic recovery.
But economists warn that the truce is short -term and the unpredictable approach of US President Trump will continue to cast its shadow on the Chinese export -based economy, which still faces customs duties of 30% in addition to the current fees.
Retail sales, a measure of consumption, increased by 5.1% in April, a decrease from an increase of 5.9% in March, and came less than expectations by expanding 5.5%, and economists attributed the slowdown in retail sales growth to the impact of US customs duties on consumer expectations.
The Chinese economy recorded a growth of 5.4% in the first quarter, exceeding expectations. The authorities are still confident in achieving Beijing’s goal to grow by about 5% this year, despite the warnings of economists that American customs duties may hinder this momentum. Last month, Beijing and Washington made customs duties to more than 100% in several rounds of anti -actions.
