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China exports rebound in April, but outlook remains bleak

China exports rebound in April, but outlook remains bleak

China's exports unexpectedly rose in April for the first time this year, as factories scrambled to offset sales losses due to the Coronavirus, with a drop in imports that portends the global economy to recession.

Official figures published on Thursday revealed that China's exports increased by 3.5% in April from a year earlier, despite the decline in external demand with the spread of the Covid-19 pandemic.

The Customs Department said that imports decreased by 14.2% from what they were a year ago, the biggest contraction since January 2016, registering a sharp decrease from its volume last month.

Analysts had expected exports to decline by 11% and imports by 10%.

China’s exports fell between January and February, the peak period of the emergence of the emerging Corona virus by 17.2%.

China's trade surplus reached $45.34 billion in April, compared to an expected surplus of $6.35 billion and a surplus of $19.93 billion in March.

With the control of the Corona virus domestically, China's economy began to open again as the authorities relaxed severe restrictions, including orders to stay at home.

But economists have mostly trimmed their trade prospects in the near term and are concerned about the new hostile behavior between Beijing and Washington.

US President Donald Trump said he was closely monitoring whether China would fulfill its pledges to increase US commodity purchases under the one-stage commercial agreement.

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