China Exports in December took another plunge

As expected, the General Administration of Customs told the press on Tuesday that China’s exports in December fell 2.8 percent from the same period of 2007, while imports fell over 20 percent – the second consecutive month of decline.

The drop rates for exports and imports accelerated from November as external and domestic demand weakened amid the financial crisis.

The export fall highlighted what is becoming a major worry for Beijing as it watches a huge engine of employment slow sharply. The closure of tens of thousands of export firms has cost an estimated 10 million migrant workers their jobs in recent months.

Some analysts expect that China’s looser monetary policy will take effect gradually and foreign trade will rebound in the second half.

China-Export-and-Import-trade figures

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