Chinese Import, Export Slumps Moderating

New York, NY, July 10, 2009--China's exports and imports fell again in June at a slower pace than in May, adding to signs the world's third-largest economy is recovering from its slump.

Exports fell 21.4 percent in June from a year earlier, China's Xinhua News Agency reported. That was an improvement over May's record 26.4 percent decline.

China's trade collapsed in late 2008 as the global consumer demand plunged, wiping out millions of factory jobs. Analysts say a full-fledged recovery will have to wait until China's key U.S. and European export markets rebound.

Beijing is trying to shield the economy from the downturn by boosting domestic consumption with a 4 trillion yuan ($586 million) package of spending on public works construction and other initiatives.

The government is due to report quarterly economic growth next week and analysts are forecasting an expansion of about 7 percent from a year earlier. That would be an improvement over first-quarter growth of 6.1 percent.

June imports also fell, declining 13.2 percent from a year earlier, Xinhua said. That was an improvement over May's 25.2 percent fall and far better than January's record 43.1 percent plunge.