Soaring imports deepen EU’s China trade deficit
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© Reuters. FILEPHOTO: A collection of containers is seen at Shanghai’s Yangshan Deep-Water Port on October 19, 2020. REUTERS/Aly Son/File Photograph(Reuters] – China’s trade deficit for the European Union grew by more than a quarter last year, said the bloc’s statistical office on Friday. The increase was due to China’s booming imports.
Eurostat data revealed that China’s imports to the EU increased by over a fifth to 472 billion euro ($522billion) last year, compared with 2020. This increase widened the bloc’s trade deficit to China, which was 249 billion euros.
China was the only country where EU exports grew at a faster pace than other members.
This report was made as EU leaders and Chinese leaders met in Beijing to discuss their first summit for two years. Brussels demanded assurances from Beijing that it wouldn’t supply Russia arms or help Moscow bypass Western sanctions for its invasion of Ukraine.
According to Eurostat data, China was the EU’s third largest export destination and its biggest import partner last year.
The bulk of EU imports to China were made from telecoms equipment, data processing and electrical kits. However, China mainly exported cars and parts to the largest automotive market in the world.
At nearly 95 billion euro, the Netherlands showed the greatest deficit. Germany, China’s biggest exporter and the second-biggest immigrant within the bloc, had the largest surplus.
Eurostat stated that the coronavirus epidemic had caused a slowdown in EU-China trade during the first month of 2020. However, these were quickly recovered and reached their peak in 2021.
($1 = 0.9042 euros)
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