By Gina Lee

Investing.com – Chinese exports in September, with solid global demand taking some of the pressure off factories struggling with power shortages and outbreaks of COVID-19 cases.

The growth was 28.1% in the past year, and forecasts from Investing.com predicted a 21% rise.

Although China took the lead in economic recovery from COVID-19, challenges such as the high demand for raw materials and supply chain bottlenecks have caused the recovery to slow down and dimmed the country’s economic outlook.

An attempt to shift to clean energy, which led to strong industrial demand and severe power shortages, has halted the production of several factories including those supplying Apple Inc. (NASDAQ 🙂 and Tesla Inc.

grew 17.6% year-on-year, but the growth was lower than the 20% in forecasts prepared by Investing.com and the previous month’s 33.1% growth. Meanwhile, China’s was at $66.76 billion, higher than the $46.80 billion in forecasts prepared by Investing.com and the $58.34 billion surplus recorded in August.

The People’s Bank of China is also widely expected to inject more stimulus by cutting the amount of cash banks must hold as reserves later in 2021, in order to help small and medium-sized enterprises.

Reuters has learned that while China has managed the COVID-19 latest outbreaks involving more dangerous Delta strains, investors suggested that China’s “zero-tolerance” COVID-19 policy, as well as stretched international shipping capacities, could pose a challenge.

According to Reuters calculations based upon customs data and up to $37.68 million in August 2021, China’s trade surplus rose to $42 Billion.

Last week, top U.S. and Chinese officials reviewed implementation of the U.S. China Economic and Trade Agreement. The U.S. has been pressing China to honor its commitments under the duo’s ‘Phase 1′ trade deal which will expire at the end of 2021.