China’s trade surplus dropped to USD 65.81 billion in May 2023 from USD 78.40 billion in the same period a year earlier and below market forecasts of USD 92 billion. It was the smallest trade surplus since February, as exports fell more than imports. Exports shrank by 7.5% yoy to a three-month low of USD 283.5 billion, the first decline in three months and the steepest drop since January, compared to market consensus of a 0.4% fall, while imports decreased by 4.5%, amid weakening domestic demand. For the first four months of the year, the politically sensitive trade surplus with the United States jumped 27.8% yoy to USD 359.48 billion.
