CHINA may see last year's trade surplus hit US$160 billion, narrowing further from US$183.1 billion in 2010, Commerce Minister Chen Deming said yesterday.

The surplus will then account for around 2 percent of China's gross domestic product in 2011, a drop from 3.1 percent a year earlier.

In the first 11 months of last year, China's trade surplus fell 18.2 percent from a year earlier to US$138.4 billion. The value of trade during the period surged 23.6 percent on an annual basis to US$3.3 trillion, according to customs data.

A narrowing surplus is due to China's efforts to balance its trade. The ministry has announced that the country will expand imports as a priority to reduce the trade imbalance.

Analysts also attributed a moderating export growth to a smaller surplus last year.

In November, China's exports grew at the slowest pace in nine months, and may have deteriorated in December.

The General Administration of Customs is set to release December's trade data next week.

Chen said China's total trade value last year may amount to US$3.6 trillion, still an increase of 20 percent year on year.

 

Source:shanghaidaily.com