A weaker renminbi failed to stop a sharp fall in China’s exports in September, damping economists’ hopes that demand would pick up in the fourth quarter and sending markets in the region lower.
In renminbi terms, exports fell an annualised 5.6 per cent, according to China’s General Administration of Customs, the first drop since February when outbound shipments contracted 20.6 per cent. Imports grew only 2.2 per cent in local currency terms, down from 10.8 per cent growth in August.
The outlook was bleaker when valued in dollars, with outbound shipments falling 10 per cent year on year, sharpening from 2.8 per cent the month before and far worse than the 3.3 per cent shrinkage forecast by economists surveyed by Bloomberg. A drop of 1.9 per cent in imports also came in well below expectations of 0.6 per cent growth.