Trade Surplus Expands - Will It Cause More Trade Friction?
Source: globecotnews Date: 2007-07-17
In June, China's trade surplus reached a new all-time record of 26.9 billion U.S. dollars, which was up from 22.5 billion in May. This surplus was double year-ago levels and much higher than anyone had forecast. In May, exports increased 27 percent, reaching a new record of 103.27 billion U.S. dollars, while imports grew 14 percent to 76.4 billion U.S. dollars. The May surplus pushed the January through June trade surplus to a new record of 112.5 billion U.S. dollars, which represented an 84 percent year-on-year increase.
This situation is likely to further boost support for the China trade bills now under consideration in the U.S. Senate. The U.S. had a 73.9 billion U.S. dollar trade deficit with China during the first six months of 2007.
