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The Recession and China's Imports |
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By Caitlin Dashon
 The slowdown in world trade has resulted in reduced imports from all places including China. It has also reduced the number of contracts in the import market in China. As the worldwide demand for Chinese imports continues to increase, particularly in Europe and in the U.S., in China, the import container volumes have been significantly reduced. While the import industry reviews investment planning and operations, the extension plans were put on hold after the international import market changed. For instance, plans for the development of the port of Ningbo Port Zhousan China have been stopped indefinitely. In order to complete the terminal in Shanghai, there were plans to build nine new container terminals inside the port. The development of the terminal of Jintamg Dapokou was in the center of the expansion plan of import services. This plan has five container births and a quay of 1.8 km, which would redefine the import services in the area.
But, these days, these plans have been put on hold as the economy in China which is dependent on exports slows down as a result of
the slowdown of the worldwide demand for Chinese imports. China's third largest economy and its primary ports have all went through downturns which were significant, with the volumes of international imports to Shanghai down 15 percent recently. Then there were several consecutive months of significant downturns as the crisis in the economy continued. The port of Guangzhou has experiences the worst decline, with almost 25 percent downturn during recent quarters. A downturn in Shenzhen of 21percent followed.
However, since there have been reduced volumes of imports for businesses who are doing the shipping, there has been a strained demand in the domestic trade in China, especially with the transportation of the imports from southern China to the northern part of China. For instance, the imports that have been sent to Dalian in the north has increased by 50 percent and to other ports in northern China is now exhibiting some small growth as a result of domestic demand that has been strong. But, this is only a small part of the total import market and doesn't begin to offset the downturn in the worldwide import demand from China.
The president of the China Merchants International Holdings that has investments in nearly all Chinese terminals and ports that take care of about 34 percent of the imports from all over China, reported that the recent years were the most difficult years in generations for the import services industries and the import businesses in China. With the reduction of imports the port operators in China were faced with operational problems that were created by the problems of empty import shipping containers that have negatively affected the operational efficiency and have also accumulated.
However, in spite of the economic crisis, China is still experiencing economic growth of approximately 8 percent recently that is still very positive and the experts predict a positive future since after the world economy gets back to normal, China is committed to continuing its growth even more. The experts have predicted that worst of the economic would soon be over when the markets to imports from China to the United States start to make an economic recovery in the U.S.
Click here for more information about China imports and china wholesale electronics. Author: James Keyes.
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