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China sees 2005 trade surplus over $90bln
(Reuters)
Updated: 2005-10-06 11:18

China's Commerce Ministry has forecast a trade surplus of $90 billion to $100 billion for 2005, and the country's two-way foreign trade would hit $1.4 trillion, the International Business Daily reported on Thursday.

The ministry's foreign trade department forecast exports in 2005 would rise about 30 percent over the previous year to total $750 billion, while imports would rise about 18 percent to $660 billion, the newspaper said.

China recorded a trade surplus of $60.2 billion in the first eight months of 2005. The August surplus of $10 billion was the third-biggest on record, as strong growth in exports made up for a rebound in imports.

The booming trade performance would likely sustain foreign pressure for a rise in the value of the yuan, and strain relations with trading partners, analysts have said.

Exports have continued to surge despite a landmark 2.1 percent revaluation of the yuan on July 21 to 8.11 per dollar, and despite European Union and U.S. quotas against China's textile exports.

Chinese officials have made it clear that Beijing would tread carefully before allowing the yuan to climb much further.



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