China´s trade surplus down 11.8%

China's foreign trade surplus fell to 99 billion US dollars in the first half of this year. The customs administration said on Thursday that's down almost 12 percent from the same period last year. Analysts are attributing the fall to both macro-policies and rising prices for energy and resources.

China's foreign trade surplus fell to 99 billion US dollars in the first half of this year.

The General Administration of Customs said the first half of this year saw a rapid 31-percent-increase in imports year-on-year, outpacing the 22-percent-hike in exports. The total trade volume rose nearly 26 percent.

Experts say the strong import growth was partly due to rising prices of commodities on the international market. They also attribute the decline of the trade surplus to the global economic slowdown in the wake of the economic crisis triggered by the US subprime mortgage crisis.

The growth of imports in June -- at 31 percent -- also outpaced that of exports. June saw export growth slow down from its May levels. It led the whole month's trade surplus down 21 percent year-on-year.

Analysts say the slowing export growth reflects weaker global demand and could cool the country's economic growth. They say small- and mid-sized Chinese firms are facing extreme difficulties, due to issues like the accelerated appreciation of the yuan and the continued rise in prices for raw materials and labor.

They've called for more efforts to stabilize exports by upgrading labor-intensive industries.

Experts say the strong import growth was partly due to rising prices of commodities on the international market.