In Sept, China146;s exim growth slows

China's exports rose 33 per cent in September from a year earlier, while imports rose 22 per cent, slower-than-expected growth that reflecte...

China8217;s exports rose 33 per cent in September from a year earlier, while imports rose 22 per cent, slower-than-expected growth that reflected easing investment in the booming economy.

8216;8216;Slowdown was a result of easing domestic demand due to fluctuations caused by economic controls,8217;8217; said Zhu Jianfang, an economist at China Securities in Beijing. 8216;8216;Probably, investment and industrial output growth slowed in September but we haven8217;t seen the official data.8217;8217;

China clamped down on heated investment and lending this year, worried that industrial expansion could outpace demand and set the booming economy up for sharp downturn. Four analysts surveyed, had expected exports to grow between 27-37 per cent. Imports had been seen rising from 20-37 per cent.

The growth rates showed a slowdown from August, when exports jumped 37.5 per cent from a year earlier, and imports rose 35.6 per cent.

September8217;s trade surplus was 5 billion, the fifth straight monthly surplus. After posting several monthly deficits earlier in the year, China ran trade surpluses of 4.5 billion in August and 2 billion in July. In September 2003, the surplus was 290 million.

The monthly surplus was higher than the median 3.4 billion forecast of four economists. Cooling measures such as bans on new investment in industries like steel and property had probably reduced China8217;s appetite for the raw materials, machinery and components that make up the bulk of its imports, analysts said.

8216;8216;The basic message here is one of slowing investment growth but rapid export growth,8217;8217; said Ben Simpfendorfer, economist with JP Morgan in Hong Kong. While September8217;s export growth may have slowed slightly, it was strong enough to encourage policy makers, that their belt-tightening wasn8217;t in danger of choking one of the economy8217;s most vibrant sectors. 8212;Reuters