China's June Services Trade Deficit Widens to $19.52 Billion as Opening-Up Lifts Imports
Updated
Updated · China Daily · Aug 3
China's June Services Trade Deficit Widens to $19.52 Billion as Opening-Up Lifts Imports
1 articles · Updated · China Daily · Aug 3
Summary
131.8 billion yuan ($19.52 billion) marked China’s services trade deficit in June, the largest monthly gap in three months, while the first-half shortfall reached 770.3 billion yuan.
Stronger domestic demand from consumers and businesses for overseas travel, transport, telecom and specialized services drove imports higher, officials and researchers said, as Beijing pushes a more open and competitive services sector.
177.3 billion yuan in travel services led first-half trade flows, followed by transportation at 157.9 billion yuan, other business services at 146.7 billion yuan, and telecom, computer and information services at 73.1 billion yuan.
China’s goods trade surplus is being partly offset by services and capital-account deficits, while policymakers last week called for faster services trade growth, more balanced trade and greater foreign investment.
Deutsche Bank expects recovering domestic demand—especially in services—plus policy support and lower oil prices to help drive China’s second-half economic growth.