subject: Foreign Media: China Slowdown In Exports To The Eu Will Not Lead To Overall Export Crisis [print this page] Reuters, recently launched a comment, saying that although the European debt crisis has led to a slowdown in Chinese exports to the EU, China's overall exports are still expected to achieve a stable growth. The main ideas are as follows.
First, the ration that the EU accounts for the exports is not large enough to affect the overall situation. The EU is China's largest export market, but it accounts for only 18.8% of Chinese exports of goods. In 2011, Chinese exports to five countries where the debt crisis is most severe, that is Greece, Portugal, Ireland, Italy and Spain was only $ 62.3 billion, accounting for 3.3 percent of total exports, not equal to China's exports to Germany. China's exports to Greece were only $ 4 bullion and were almost the same with the scale to Iraq or Cambodia. China has been seeking to deduce the dependence on the exports to the developed countries which have been involved in the debt crisis and has tried to find more emerging market.
The second is the challenges of the European debt crisis to China's exports are not as serious as that in 2008 and 2009. The debt crisis in Europe only indicated that a market was in trouble, rather than the global market. Chinese exports have withstood the tests of Asian financial crisis and a weak U.S. economy after the Internet bubble, and therefore it is able to cope with the challenges of the debt crisis in Europe. In addition, the overall external demand situation is not as bad as what people have been worrying about and the European market demand will slow down but will not collapse. Japan's post-disaster reconstruction demands for imports and the U.S. economy is in recovery. These will inevitably offer new opportunities to Chinese manufacturing as well as exports.
Third, China's export momentum to emerging markets is strong. Chinese exporters have been expanding business into emerging markets. From now to 2015, according to the Chinese government's new trade strategy, the proportion of exports to emerging markets to total exports, need to be increased by five percentage points, meaning that exports to emerging markets will be added by $ 125 billion. The expanding of the new emerging market definitely will produce demand for the imported products and therefore offers hope for the Chinese exports. It is believed that export growth to emerging markets will to some extent offset the decline in exports to major markets.
