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Trade Surplus Reaches New Peak in June
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China's trade surplus in June soared to US$26.91 billion, a new high standing 85.5 percent up year-on-year, the General Administration of Customs said on Tuesday.

 

This put the aggregate surplus for the first half of the year at an 83 percent jump to US$112.5 billion, it said.

 

Imports rose 14.2 percent in June to US$76.36 billion with exports rising 27.1 percent to US$103.27 billion.

 

China's foreign trade volume for the first half year totaled US$980.93 billion, up 23.3 percent.

 

The administration also predicted that the figure would see a 20 percent rise to two trillion US dollars this year, with the country's trade surplus reaching US$200 billion.

 

Huang Guohua, senior analyst at the administration, said China's trade surplus set a new record in June since domestic companies were rushing exports ahead of the export tax rebates which were slashed from July 1 onwards.

 

The Chinese government announced on June 19 it would cut or eliminate export tax rebates for 2,831 commodities from July 1 in an attempt to "suppress overheated export growth and ease frictions between China and its trade partners".

 

To narrow its yawning trade surplus, the Chinese government has been encouraging companies to curb exports of products that consume vast amounts of energy and cause serious pollution during their production processes, and expand imports of high-tech goods.

 

In the first six months, the European Union remained China's top trading partner, with bilateral trade volume reaching US$158.4 billion, up 27 percent over the same period of last year. The United States was second with a trade volume of US$140.55 billion.

 

(Xinhua News Agency July 10, 2007)

 

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