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Trade surplus rebounds in April

(Xinhua)
Updated: 2007-05-11 14:20

China's trade surplus in April more than doubled the figure of March to US$16.88 billion, though the country's exports grew slower and imports rose faster over the past month, according to the General Administration of Customs.

But the figure was still a drastic decline from February's US$23.7 billion, the second-highest monthly level on record.

Zhang Yansheng, an economist with the National Development and Reform Commission, said that the seesawing monthly surplus figures have indicated the uncertainty in China's trade growth.

"But I don't think we could repudiate the functions of government macro-economic control intending to narrow surplus," he said.

China has used a package of industrial and taxation policies since last year to rein in exports of energy-and-resources-consuming products and to simultaneously facilitate imports of advanced equipment and technology.

The administration said the aggregate surplus for the first four months has reached US$63.31 billion, with the April exports growing at a slower 26.8 percent to US$97.45 billion and imports, at a faster 21.3 percent to US$80.57 billion.

But experts argue that the adjustment remains minute. The rising yuan which has appreciated 5.4 percent accumulatively since the 2005 exchange rate reform, coupled with high crude oil prices and rising local production costs, should theoretically put Chinese exports into an increasingly unfavorable position, they said.
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