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Yao Jian said that due to the superposition of domestic and foreign factors, the foreign trade situation in the second half of the year is not optimistic. Main reasons: First, the growth of foreign demand has slowed down. The sovereign debt crisis has caused many EU countries’ fiscal policies to shift from expansion to contraction, which will greatly limit EU consumption and investment growth. Emerging economies such as Brazil and India have also started to shrink monetary policy. With the gradual completion of the post-crisis inventory recovery process, the Chinese market will have limited space for further expansion in the future; second, the cost pressure on companies will increase significantly. In the first half of the year, the raw material costs of Chinese companies rose by about 20% to 30% year-on-year, and the labor cost was also rising. Third, trade frictions were still severe. In the first half of the year, China suffered a total of 38 trade remedy cases. In addition, the previous two-year high-accused case rulings continued to be enforced. The impact on exports for the next period of time cannot be underestimated.
Yao Jian said that in the face of the current complicated situation, in the second half of the year, the Ministry of Commerce will work with related departments to increase the pertinence and flexibility, promote the coordination of foreign trade, and reduce trade barriers.
At a press conference held by the Ministry of Commerce yesterday, Yao Jian, spokesman of the Ministry of Commerce, stated that the foreign trade situation in the second half of this year will be severe and the trend will be “high before and after lowâ€.