China's foreign trade is facing severe challenges and difficulties will continue or even increase in the second half of the year, according to Yao Jian, spokesman for China's Ministry of Commerce (MOC).
Although it was previously believed that China's foreign trade would in the current year achieve the year-on-year growth target of eight percent, the sharp fall in foreign trade in recent months, especially in June, has frustrated China's exporters. The MOC also warned of severe foreign trade challenges in the second half of this year. Exports in June declined 3.1 percent compared to June last year to $174.32 billion, while imports edged down 0.7 percent year on year to $147.19 billion, leaving a trade surplus of $27.13 billion.
External demand has remained weak due to the slow performance in traditional markets, including Japan and the EU. In the first half of the current year, the total bilateral trade value between China and the EU decreased by 3.1 percent year on year, while the overall trade value between China and Japan was down 9.3 percent year on year.
In addition, frequent trade friction, the strengthening of the RMB and rising wages all had a negative impact on Chinese exporters.
According to the MOC, the Chinese government aims to maintain the share of Chinese products in the global markets by providing better services for medium and small enterprises and working for a more favorable international environment.