“The Chinese economy lost momentum through 2015 and Q1 2016,” said the latest edition of the Chinese Resources Quarterly (CRQ). “However, since then, read GDP growth has stabilised at 6.7%. Many questions remain regarding the outlook for China; but, at least for not, solid growth continues.”
Imports of key commodities have seen renewed strength this year. Iron ore imports hit a high of 269.1 million t in 3Q16, while metallurgical coal imports were 16.5 million tin 3Q16 – the highest level since 4Q14 and up from lows of 11.4 million t in 1Q16.
According to the CQR: “China’s imports of iron ore increased 8%yr in Q3, with imports from Australia up 7% [year on year], and imports from Brazil up 12% [year on year]. Imports from the rest of the world also increased, up 15% [year on year].”
Thermal coal dropped back to just 20.64 million tin 3Q16, following a bounce in the previous quarter. 2Q16 imports were 43.96 million t, the highest since 4Q14.
