Raza Khan

Bilateral trade between Pakistan and China declined by 26.62% in August 2022 as compared to the same month of 2021, the Ministry of Commerce reported. The trade between the two countries fell to $1.389 billion in August 2022 from $1.893 billion in the corresponding month of last year. Data available with WealthPK shows that Pakistan-China bilateral trade declined by 4.20% as compared to the preceding month of July when trade volume was recorded $1.45 billion. Pakistan’s exports to China dropped by 42% in August as compared to the same month of last year. Exports to China fell to $115 million during the month under review from $197.22 million in corresponding month of 2021, data shows.

Imports from China also fell by 24.88% in the second month of the fiscal year 2022-23 and reduced to $1.274 billion from $1.696 billion in the corresponding month of the last fiscal year. Pakistan’s exports to China declined by 8% in August this year as compared to the preceding month of July, while imports also posted a negative growth of 3.84% during the month under review against July. Despite decline in bilateral trade, China remained Pakistan’s largest source of imports and seventh largest export destination during the month under review.

Earlier, a decline of 17% was recorded in Pakistan-China bilateral trade in July 2022. The trade between the two countries fell to $1.45 billion in July 2022 from $1.757 billion in the corresponding month of last year. Dr Asmat Nawaz, Senior Joint Secretary (Trade with China) told WealthPK that trade statistics vary from time to time. “Numbers of bilateral trade with various countries vary every month,” he added. Dr Asmat was of the view that ban on imports of luxury items by the Government of Pakistan and imposition of lockdown in various cities of China were apparently the primary reasons behind decline in bilateral trade in July and August. He said Pakistan has abolished ban on imports of certain items, and China has eased lockdown, which would result in trade growth in the coming months.

Dr Asmat said that Pakistan was focusing on enhancing its exports to China to reduce trade deficit. “It is not easy to reduce imports from China, so Pakistan has to increase exports,” he maintained. The official said that Pakistan was looking to include more items in its exports to China. According to the Ministry of Commerce, with the bilateral trade volume of $19.457 billion, China remained Pakistan’s largest trade partner in 2021-22. Pakistan’s exports to China were recorded $3.111 billion in 2021-22, while imports were at $16.346 billion.

Pakistan’s export items to China included cotton, copper, cereals, fish, crustaceans, molluscs, aquatics invertebrates, oil seed, oleagic fruits, grain, seed, fruits, beverages, spirits and vinegar, aluminium, apparel, salt, sulphur, leather and plastics. Pakistan’s imports from China include electrical, electronic equipment, machinery, nuclear reactors, boilers, pharmaceutical products, mineral fuels, oils, distillation products, organic chemicals, iron and steel, vehicles other than railway, tramway, plastics, fertilizers, manmade filaments, and rubbers.

Credit: Independent News Pakistan-WealthPk