Asian Spectator

Business & Finance Asia

Imports sustain China’s trade despite overall slowdown in growth

  • Written by DHL
  • Imports of Basic & Industrial Raw Materials, Chemicals & Products and Temperature or Climate Controlled Goods remain positive
  • Rise in exports of Machinery Parts coincides with growing focus on smart manufacturing and high-quality development

SHANGHAI, CHINA - Media OutReach[1] - 6 December 2019 - The DHL Global Trade Barometer (GTB)[2] indicates a further contraction in world trade for the next three months, with China recording the weakest growth outlook compared to all surveyed GTB countries. China's ocean and air imports in certain sectors[1] look set to remain strong as domestic consumption drives the economy amidst an overall decline in trade growth, according to data from the DHL Global Trade Barometer released by DHL, the world's leading logistics company.

Imports sustain China’s trade despite overall slowdown in growth

The DHL Global Trade Barometer, an early indicator of global trade developments calculated using Artificial Intelligence and Big Data, revealed that China's trade index now stands at 42 points and therefore indicates negative growth for the three months ending in January 2020. With three points down from the previous quarter it's the lowest result since the launch of the GTB in January 2018. Although China's Index value remains below 50[2] -- the threshold for net trade growth --imports for important sectors like Basic Raw Materials and Chemicals & Products via air freight and Industrial Raw Materials and Temperature or Climate Controlled Goods via ocean freight remain strong, suggesting domestic consumption is responding positively to government stimulus policy[3].

"This quarter's index indicates that China's trade growth continues to decelerate, but also points to substantial strength in domestic demand that has made up as much as 60% of China's economic growth[4] this year," said Steve Huang, CEO, DHL Global Forwarding Greater China. "Increases in air imports of raw materials and ocean exports of machinery parts should offer cause for optimism amongst major Chinese industries, coinciding with policy actions to upgrade national manufacturing capabilities[5] in preparation for Industry 4.0-related demand. With economic growth still holding at 6%[6] in Q3 2019, China's economy appears to have enjoyed significant resilience even in the face of prolonged uncertain global trading conditions."

Steady but mild decline negatively affects all countries, except India

The Barometer's results also suggest that world trade is expected to continue at moderate pace but further contract for the next three months, driven by minor decreases in both air and containerized ocean trade. Against previous quarters this year, the downward trend in trade growth remains mostly stable, neither indicating an acceleration of the decline nor a bottoming out of contractionary movement. All seven nations monitored by the Barometer received indexes below 50 points except for India, where the Barometer forecasts moderate growth of five points to 54 points for India. While Japan and the UK had been the only countries with positive trade outlooks in the previous update in September, the two countries record the highest losses in this period.

"According to the DHL Global Trade Barometer the year will probably end with moderate world trade. However, we've to bear in mind where we come from: The rapid growth world trade has undergone in recent years was like climbing the Mount Everest. Now, we are on the descent, but we are still breathing altitude air", Tim Scharwath, CEO of DHL Global Forwarding, Freight, says. "A countless number of stable trade relations continues to flourish worldwide, despite smouldering trade conflicts and geopolitical uncertainties."

About the Global Trade Barometer

Launched in January 2018, the DHL Global Trade Barometer is an innovative and unique early indicator for the current state and future development of global trade. It is based on large amounts of logistics data that are evaluated with the help of artificial intelligence. The indicator is published four times a year and the next release date is scheduled for end of March 2020.

For more information on the DHL Global Trade Barometer, please visit:  logisticsofthings.dhl/gtb[7]. The index is now also available for subscribers of the Bloomberg terminal by using the code "DHLG <GO>".

Note to editors:

The proposed Regional Comprehensive Economic Partnership (RCEP) will boost market access to products and capital, and create the world's largest regional trading bloc that will account for more than 29.1 percent of global trade. Read more about Asia's next trade pact and its impact on global trade. [8]



[1] Click here[9] for more information on the outlook for air freight and ocean freight or the key sectors in China.

[2] In the Global Trade Barometer methodology, an index value above 50 indicates positive growth, while values below 50 indicate contraction.

References

  1. ^ Media OutReach (www.media-outreach.com)
  2. ^ DHL Global Trade Barometer (GTB) (bit.ly)
  3. ^ government stimulus policy (www.scmp.com)
  4. ^ as much as 60% of China's economic growth (www.xinhuanet.com)
  5. ^ upgrade national manufacturing capabilities (www.scmp.com)
  6. ^ holding at 6% (www.scmp.com)
  7. ^ logisticsofthings.dhl/gtb (logisticsofthings.dhl)
  8. ^ Read more (logisticsofthings.dhl)
  9. ^ here (logisticsofthings.dhl)

Authors: DHL

Read more http://www.media-outreach.com/release.php/View/23303#Contact

Great Towers and Landmarks Worldwide Unite in Global Show of S...

TORONTO, Jan. 25, 2020 /PRNewswire-AsiaNet/-- The CN Tower, fellow members of the World Federation of Great Towers, and landmarks around the world are uniting to raise awareness and show sup...

Moet Hennessy Unveils Its Vinexpo Program: Sharing, Engaging W...

PARIS, Jan. 23, 2020 /PRNewswire-AsiaNet / -- After announcing its intention to take part in the Vinexpo Paris exhibition (from February 10th to 12th, 2020), setting up as an agora dedicated...

Spring Festival Gala on the Hong Kong-Zhuhai-Macao Bridge rise...

ZHUHAI, China, Jan. 25, 2020 /Xinhua-AsiaNet/-- Celebrate the Spring Festival on the charming Guangdong-Hong Kong-Macao Greater Bay Area! On January 24, the Spring Festival's Eve, the Greate...

WISE, an Initiative of Qatar Foundation, Has Unveiled Its Glob...

PARIS, Jan. 24, 2020 /PRNewswire-AsiaNet/ -- - 9 young adults out of 10 feel their generation has a responsibility to better the world; yet, they don't feel prepared enough for itOn the occa...

Henley Partners Discusses Sovereign Equity at Davos

LONDON, Jan. 24, 2020 /PRNewswire-AsiaNet/ -- Henley & Partners (https://www.henleyglobal.com/) was delighted to take part in a Davos panel discussion during this week’s World Econ...

New Disinfectant Stops Spread of Virus, Including Coronavirus Strain from China

SYDNEY, Jan 24, 2020 - (ACN Newswire) - Australian researcher Steven Kritzler says his Evocide Extra disinfectant is able to stop the spread of virus, as in the present outbreak in Wuhan Ci...

"Reverend Moon: A 100-Year Legacy of Peace"

NEW YORK, Jan. 24, 2020 /PRNewswire-AsiaNet/ -- Members of the Family Federation for World Peace and Unification (colloquially known as the "Unification Church") are commemorating the 100th ...

Fashion Hong Kong arrives at New York Fashion Week

HONG KONG, Jan 24, 2020 - (ACN Newswire) - Three leading Hong Kong fashion designer brands will take part in the Fashion Hong Kong runway show at New York Fashion Week Fall/Winter 2020 in F...

NEC Develops Millimeter-wave Distributed Antenna Radio Unit Improving the Channel Quality for Indoor 5G Applications

TOKYO, Jan 24, 2020 - (JCN Newswire) - NEC Corporation (TSE: 6701), a leader in the integration of IT and network technologies, today announced the development of millimeter-wave(1) distrib...

Heads of State, Government Ministers From Over 35 Countries Wi...

DJIBOUTI CITY, Djibouti, Jan. 24, 2020 /PRNewswire-AsiaNet/ -- Over 35 governments of African, Asian, Middle Eastern, Pacific, Latin American and Caribbean countries will officially be repre...

SCB 1OX launches "Moonshot Mission" focusing on Thailand's fir...

BANGKOK, Jan. 24, 2020 /PRNewswire-AsiaNet/ -- SCB 1OX Company Limited, a subsidiary under Siam Commercial Bank PCL (SCB), announced its readiness to push forward a new growth engine for the...

Australian Broadcasters Shine on Global Stage at BIGO Awards G...

SINGAPORE, Jan. 24, 2020 /PRNewswire-AsiaNet/-- Leading technology company from Singapore, BIGO Technology (BIGO), the company responsible for popular new age communication platforms like Bi...

Trina Solar's first 210 module rolls off production line

CHANGZHOU, China, Jan. 24, 2020 /PRNewswire-AsiaNet/ -- Trina Solar Co., Ltd ("Trina Solar" or the "Company") announced that the first large-size module that deploys the 210mm silicon wafer ...

OMRON Opens New AUTOMATION CENTER in Tokyo

KYOTO, Japan, Jan.24, 2020 /Kyodo JBN-AsiaNet/-- - Flagship FA Technology Center That Brings About Innovation to Production Floor through Co-creation with Customers -OMRON Corporation, based...

BOUNX SPORT APP UNVEILED AT 2020 ASB CLASSIC TO PROVIDE JUNIOR...

AUCKLAND, 24 Jan, 2020 /Medianet International-AsiaNet/-- --The sports technology platform launched in Auckland at the 2020 ASB Classic rolling out a new gamified player and coaching experie...

Discover the 'Indian Education Technology' Market – 5-day Prog...

NEW DELHI, Jan. 24, 2020 /PRNewswire-AsiaNet/ -- EdTechReview with the support of major education/EdTech players in India is organizing the Indian Ed Tech Market Discovery Tour (http://bit.l...

Inovio Selected by CEPI to Develop Vaccine Against New Coronav...

PLYMOUTH MEETING, Pa., Jan. 24, 2020 /PRNewswire-AsiaNet/ -- Inovio Pharmaceuticals, Inc. (NASDAQ:INO) today announced the Coalition for Epidemic Preparedness Innovations (CEPI) has awarded ...

Musical Life in Germany

BONN, Germany, Jan. 23, 2020 /PRNewswire-AsiaNet/ -- - German Music Information Centre publishes book in English on musical life in Germany- Comprehensive information on structures and recen...

Innovative Products, Valuable Toy Expertise and Extended Servi...

NUREMBERG, Germany, January 23, 2020 /PRNewswire-AsiaNet/ -- - Unique selection of product ideas and trends- Free knowledge transfer from top-class experts- Extensive services for exhibito...