China sees “unprecedented” difficulty in stabilizing trade in 2022

China faces a difficulty “unprecedenteds “to stabilize trade next year, as the favorable conditions that boosted export growth this year will not be sustainable, according to a trade ministry official.

The rise in exports could slow as rival countries regain their production capacities and the inflation that boosted export values ​​gradually declines, it said on Thursday. Ren Hongbin, portfolio deputy minister, at a briefing in Beijing. Rapid increases in exports this year also make the benchmark higher for 2022, he noted.

China improve the awareness and ability of trading companies to manage currency risks, based on Ren. In addition, the government will also step up efforts to ease international logistics pressures and supply chain problems, he said, pledging to actively guarantee the supply of commodities.

“We will do our best to keep foreign trade within a reasonable range“, He said Ren. These cross-cyclical measures aim to help stabilize trade in early 2022, he said. The vice minister expected China’s imports and exports of goods to grow more than 20% in 2021 to a total of US $ 6 trillion.

The comments of Ren echo concerns raised earlier this week by the Trade Minister, Wang Wenta |Or, who said it will be difficult for China to keep its trade growth stable next year.

China’s exports have remained resilient throughout the year, providing some support to an economy that has been hit by strong regulatory measures and repeated virus outbreaks. Shipments abroad have registered double-digit increases every month this year, with the exception of February, when shipments increased 155% compared to a drop in the same month the previous year.

But there is less certainty about the outlook for trade, as foreign appetite for Chinese goods will weaken if the global economic recovery loses steam. Chinese exporters are also battling high prices for raw materials, as well as rising labor and transportation costs.