China's exports surge in March

China’s yuan-denominated exports rose 18.7% in March compared to the same month a year ago, marking their biggest increase in over a year, according to customs data.

Yuan-denominated imports, meanwhile, fell 1.7% on the year compared with an 8% decline the previous month and giving a trade surplus of 194.6bn yuan.

In dollar terms, exports grew 11.5% to $160.8bn after dropping 25% in February, beating consensus forecasts for a 10% rise.

Dollar-denominated imports fell 13.8% to $131bn.

Still, analysts warned that the improvement was partly down to a seasonal upturn.

“Despite the seemingly strong surge, we note that external demand has not improved as much as the number may suggest. The high March print was distorted by a low base last year – partly as the lunar new year holiday ran into early March last year, especially for migrant workers who often return to work a week later than normal workers,” said Nomura.

“Today’s trade data, together with leading indicators and other March data, suggest that economic growth momentum improved in March after a weak January-February.”