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DHL: 2018 economic outlook for China strong

By Shi Jing in Shanghai | chinadaily.com.cn | Updated: 2018-01-31 15:49
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China's economic outlook remains positive for the year 2018, based on a survey provided by the world's leading logistics company DHL on Wednesday.

According to the DHL Global Trade Barometer, jointly complied by DHL and global market consultancy Accenture, the overall Chinese trade index came at 59 for the first quarter of this year, showing moderate increase during that period.

Growth in China's air trade remains particularly strong, with the index reaching 70 for the first quarter and remaining unchanged from the fourth quarter of 2017. Machinery parts and consumer goods are important drivers for Chinese air trade, especially air exports out of China. Trade in fashion products is slightly pushing down the air export outlook for the country's air trade, according to DHL.

On the other hand, Chinese ocean trade index only registered 52 according to DHL's measurements, indicating a figure on the verge of decline. This can be largely attributed to weak ocean freight imports of industrial raw materials. However, the negative impact is partly offset by Chinese exports of household goods as well as automotive and machinery parts, also the main driver of overall Chinese trade growth.

The Global Trade Barometer is scheduled to be released on a quarterly basis. DHL observed seven countries for the barometer, including China, Republic of Korea, Germany, India, Japan, the United Kingdom and the United States, as these countries account for 75 percent of world trade. Among the seven countries, China reported the lowest growth index in the first quarter of this year.

However, Kelvin Leung, chief executive officer of DHL Global Forwarding Asia Pacific, explained the results in China reflect China's economic shift toward a more consumption- and service-driven model.

"The Barometer's results also suggest China's push to raise high-quality global exports and domestic consumer spending are having the desired effect on trade and future economic development, with core industries like automotive and industrial manufacturing continuing to hold strong," he said.

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