China Imports USD y/y

China Imports USD y/y reflect a percentage change in the dollar value of goods purchased by residents from non-residents, imported from abroad. The dollar calculation of the import value provides for a proper comparison of Chinese imports with other countries and a correct evaluation of trade statistics. Economists use the indicator to evaluate the structure and intensity of trade flows.

The statistical data includes both raw materials and manufactured goods; gifts delivered free of charge; leasing commodities owned by tenant at the expiration of leasing period; goods for use by joint ventures; commodities trading in border areas (excluding mutual exchange goods) etc.

A nation importing more goods and services than it exports has a trade deficit. For countries with highly developed economies it means that labor-intensive production is transferred abroad, thus restraining inflation and maintaining high standard of living. A trade deficit in these cases is covered by other methods of economic interaction, for example by issuing debt instruments.

The impact of Chinese imports on yuan quotes is ambiguous and depends on the context of business cycles and other economic indicators, such as production dynamics. For example, in economy recession conditions, countries begin to export more in order to create jobs. Conversely, if the economy grows rapidly, developed countries prefer to develop imports in order to ensure price competition. This may influence yuan quotes accordingly. In general, a buyer in import transactions is forced to purchase foreign currency in order to pay for the goods, so the growth of imports may have a negative effect on yuan quotes.