China unveils plan to guide exporters through tempestuous trade waters

With more external barriers to trade likely to come, China’s commerce ministry announces nine-point plan to aid exporters in tough climate

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China’s enormous export industry, a major growth driver in the country’s economy, would be hit hard by heightened trade restrictions. Photo: Xinhua

Published: 6:57pm, 21 Nov 2024Updated: 9:00am, 22 Nov 2024

China has announced it will aid its export sector with policies to cope with external trade barriers – restrictions that are likely to be cemented further by the incoming Donald Trump administration – including direct guidance to aid the country’s exporters through a turbulent trade climate.

In a notice issued on Thursday, the Ministry of Commerce said it will help enterprises “actively respond to unreasonable foreign trade restrictions” and “create a good external environment for exports”.

The nine-point document, which enumerated measures intended to “promote the stable growth of foreign trade and consolidate and enhance the trend of positive economic recovery,” also includes an expansion of export credit insurance coverage and more financing support to enterprises involved in international trade.

Regions of the country, particularly those with an outsize share of cross-border trade, were encouraged to do their part.

“All localities must intensify efforts to promote policy implementation, and major foreign trade provinces must take the lead and better play their roles,” the ministry said.

Overseas settlements and the basic stability of the yuan exchange rate were also mentioned, both major nodes of interest as China stakes out a larger share for its currency in international payments to match its proportion of global trade.