SCIO briefing on China's import and export in the first half of 2022

Speakers:

Li Kuiwen, spokesperson of the General Administration of Customs of the People's Republic of China (GACC) and director general of the GACC's Department of Statistics & Analysis

Chairperson:

Shou Xiaoli, deputy director general of the Press Bureau of the State Council Information Office (SCIO) and spokesperson of the SCIO

Date:

July 13, 2022

Shou Xiaoli:

Ladies and gentlemen, good morning. Welcome to this press conference held by the SCIO. This is a routine press conference on China's annual economic standing. Today, we are delighted to be joined by Mr. Li Kuiwen, spokesperson of the GACC and director of the GACC's Department of Statistics & Analysis, who will introduce China's import and export performance in the first half of 2022 and answer your questions.

We will first invite Mr. Li Kuiwen to give a brief introduction.

Li Kuiwen:

Ladies and gentlemen, friends from the media, good morning. It's a great pleasure to meet with you at today's press conference. I'll begin by introducing China's import and export performance in the first half of 2022, and then answer your questions.

In the first half of 2022, under the strong leadership of the CPC Central Committee with Comrade Xi Jinping at its core, China has efficiently contained the pandemic while ensuring socioeconomic development. China has strived to maintain stable macroeconomic performance and achieved steady growth in foreign trade. According to statistics from the GACC, China's foreign trade volume in goods in the first half of 2022 jumped 9.4% year on year to 19.8 trillion yuan. Exports grew by 13.2% to 11.14 trillion yuan, and imports increased by 4.8% to 8.66 trillion yuan. Specifically, there were five main features which I will now outline.

First, foreign trade growth in May and June picked up significantly. As the epidemic prevention and control situation improves and pro-growth policies are taking effect, foreign trade enterprises have resumed work and production in an orderly manner since May. In particular, the rapid recovery of imports and exports in the Yangtze River Delta region led to a marked rebound in the overall growth of China's foreign trade. China's foreign trade volume in goods in May was up by 9.5% year on year, 9.4 percentage points higher than in April, and further increased by 14.3% in June.

Second, the proportion of general trade continued to increase. In the first half of 2022, China's general trade rose by 13.1% to 12.71 trillion yuan, accounting for 64.2% of China's total foreign trade volume, 2.1 percentage points higher than the same period last year. Exports increased by 19% to 7.16 trillion yuan, and imports grew by 6.5% to 5.55 trillion yuan. During the same period, processing trade rose by 3.2% to 4.02 trillion yuan.

Third, imports and exports with major trading partners kept growing. In the first half of 2022, China's trade with ASEAN, the EU and the United States reached 2.95 trillion yuan, 2.71 trillion yuan and 2.47 trillion yuan, up by 10.6%, 7.5% and 11.7%, respectively. During the same period, trade with countries along the Belt and Road and RCEP trading partners grew by 17.8% and 5.6%.

Fourth, foreign trade entities have been further thriving. In the first half of 2022, there were 506,000 foreign trade enterprises in China involved in exports and imports, an increase of 5.5% year on year. The number of private enterprises in China rose by 6.9% to 425,000 with imports and exports increasing by 13.6% to 9.82 trillion yuan, accounting for 49.6% of the country's total, 1.9 percentage points higher than the same period last year. In the same period, imports and exports of foreign-invested enterprises reached 6.75 trillion yuan, up by 2.1%. State-owned enterprises achieved 3.2 trillion yuan in imports and exports, up by 15.2%.

Fifth, imports and exports of major products enjoyed steady growth. In the first half of 2022, China's imports and exports of mechanical and electrical products grew by 4.2% to 9.72 trillion yuan, making up 49.1% of China's total foreign trade. Imports and exports of agricultural products grew by 9.3% to 1.04 trillion yuan, accounting for 5.2% of China's total. Exports of labor-intensive products grew by 13.5% to 1.99 trillion yuan, making up 17.8% of China's total exports. Imports of energy products including crude oil, natural gas and coal were up by 53.1% to 1.48 trillion yuan, accounting for 17.1% of China's total imports.

In general, China's foreign trade showed strong resilience in the first half of the year. The first quarter got off to a relatively good start. In May and June, the downward trend of growth in April was quickly reversed, laying a solid foundation for the stability and improvement of foreign trade throughout the year. At present, as the COVID-19 situation and international environment have become more severe and complex, China's foreign trade is still facing some instability and uncertainty and a lot of pressure to maintain stability and improve quality. However, it should also be noted that the fundamentals of China's economy — its strong resilience, huge potential and long-term sustainability — remain unchanged. With the implementation of a package of policies and measures to stabilize the economy, and the orderly resumption of work, China's foreign trade is expected to continue maintaining steady growth.

Next, we will adhere to the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, fully implement the spirit of the 19th CPC National Congress and the plenary sessions of the 19th CPC Central Committee, and conscientiously implement the important guidelines made by General Secretary Xi Jinping that, "we must contain the epidemic, stabilize the economy and keep development secure." We will efficiently coordinate epidemic prevention and control measures with socioeconomic development, resolutely implement the various deployments of the national video and telephone conference on stabilizing the economy, focus on "guarding the country's borders and promoting development," strengthen supervision and optimize services, and strive to promote the stability and improvement of foreign trade. These efforts will enable us to pave the way for a successful 20th CPC National Congress.

Now, I would be happy to answer your questions.

Shou Xiaoli:

Now the floor is open for questions. Please identify the media outlet you represent before raising questions.

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Zhonghongwang.com:

Since the beginning of this year, the country has adopted a package of policies and measures to stabilize economic growth. Could you share with us the specific actions the GACC has taken to ensure steady, quality, and efficient growth in foreign trade? What results have been achieved so far? Thank you.

Li Kuiwen:

Thank you for your questions. This year, following the guiding principles of the Central Conference on Economic Work, the National Teleconference on Ensuring Stable Economic Performance, and the arrangements of the State Council to promote stable and quality growth in foreign trade, the GACC has rolled out ten measures to stabilize foreign trade and improve its quality, as well as efforts to help enterprises further ease difficulties and lower costs. Local customs branches adopted 854 detailed support measures in light of their specific conditions and the needs of the enterprises. The major measures are as follows:

We are, first, improving logistics efficiency. We have expanded nationwide the pilot practices of enterprises picking up imported goods directly from the ships upon the ships' arrival at the ports and directly loading exported goods onto vessels at the ports by going through the required procedures in advance. We also promoted in Nanjing, Hangzhou, and Ningbo the practice of enterprises confirming certain required information at a time more efficient for transiting imported goods to a new port after testing the practice in Shanghai and Chongqing on a pilot basis. In addition, we have carried out whole-process supervision for the customs clearance of vaccines. We now check the declaration information from enterprises early so that COVID-19 vaccines will not have to be unpackaged for examination or to wait for departure at the ports. Moreover, we set up "green channels" across the nation to import and export fresh and perishable agricultural products and food items.

Second, we are stabilizing industrial and supply chains. We have guaranteed customs clearance for whitelisted enterprises of key industrial and supply chains. Measures have been taken to facilitate food import and diversify the import sources. We signed quarantine requirement protocols for importing corn from Myanmar, soybean from Malawi, and corn and peanut from Brazil. We have also promoted exporting quality agricultural products from RCEP members to China. In addition, efforts have been made to help ensure the import of major commodities such as iron ore and cotton to guarantee domestic demand.

Third, we are stabilizing market entities. In the first half of this year, we completed the registration of 73,700 overseas manufacturing enterprises of imported goods in China. We shortened the record filing time of manufacturing enterprises of exported food and completed record filing for 23,500 such enterprises. We accelerated the review of applications for record filing of customs protection of IP rights, and 10,700 records were filed, a year-on-year increase of 58%. Furthermore, we suspended the interest for tax delay for goods of processing trade to be sold in the domestic market, and 14,600 enterprises have benefited from the suspension.

Fourth, we are improving the business environment of ports. We carried out a five-month special campaign to facilitate cross-border trade in 10 cities of eight provincial-level regions by launching ten trade facilitation measures with relevant departments. We further improved the single-window document processing for international trade to consolidate our achievements in shortening customs clearance time. Following China's reform to streamline the government, delegate power, and improve government services, we have guided over 90,000 enterprises to file records with the customs authority with one unified business license. We have also promoted the reform of integrating all types of customs services, further facilitating foreign trade.

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CCTV:

Mr. Li, you just said that China's foreign trade had achieved steady growth in H1. What do you think are the drivers behind it? Do you think the growth momentum can be maintained in the second half of this year? How do you forecast China's foreign trade in H2? Thank you.

Li Kuiwen:

Thanks for your questions. In H1, China's foreign trade grew steadily, maintaining positive growth for eight consecutive quarters. The foreign trade volume has grown steadily to 19.8 trillion yuan (US$2.95 trillion), which has contributed to a stable macroeconomic performance. The growth of China's foreign trade, in my opinion, is attributed to the following aspects:

First, the international market demand is relatively stable. Since this year, despite the rising external risks caused by the COVID-19 pandemic and the Ukraine crisis, the global economy is generally picking up, and the international market demand is stabilized. In H1, China's export of electrical equipment and products, integrated circuits, and automobiles have increased by 24.8%, 16.4%, and 51.1%, respectively. The export of labor-intensive products like textiles and garments, plastic products, and footwear rose by 10.8%, 14.9%, and 31.4%, respectively.

Second, the demand for domestic production is high. This year, faced with a complex external environment and economic downside pressure brought by the COVID-19 pandemic, the CPC Central Committee has effectively coordinated epidemic control and socioeconomic development, which has helped stabilize the macroeconomic performance. The demand for domestic production gradually recovered, providing strong support for import growth. In H1, China's import in copper products, basic organic chemical products, and integrated circuits grew by 16.2%, 7.9% and 5.5%, respectively.

Third, the rapid recovery of import and export in some regions have firmly stabilized the overall state of China's foreign trade. This year, the Yangtze River Delta region, the Pearl River Delta region, and China's northeast had seen cluster cases of COVID-19, which has resulted in the slump of their foreign trade. But after the epidemic has been quickly taken under control, these regions have seen a rapid recovery in foreign trade with growth rates turning negative to positive. Their strong resilience in foreign trade have also helped stabilize China's overall foreign trade performance. In May, these three regions have seen their imports and exports grow by 4.8%, 2.8%, and 12.2% year-on-year, respectively, and their growth rate further picked up to 14.9%, 6.4%, and 12.8% year-on-year in June, respectively.

Fourth, the vitality of market entities has been effectively stimulated. As the country's policy measures to stabilize the economy have taken effect, the work related to increasing both the volume and quality of imports and exports is rapidly progressing, and the vitality of market entities in China's foreign trade market have been effectively stimulated. In H1, the number of companies with visible progress in foreign trade grew by 5.5% year on year. Various businesses in foreign trade maintained growth in both imports and exports. The import and export of private enterprises grew by 13.6%, 4.2 percentage points higher than the average growth, and these private businesses have contributed 6.5 percentage points to the growth of China's foreign trade.

Moreover, the high international commodity prices, to some extent, have also driven the growth of import value. In H1, the Thomson Reuters/CoreCommodity CRB Index, which reflects the fluctuations of international commodity prices, has grown by more than 25%. Against this background, the average import prices for crude oil, natural gas, and coal visibly picked up and have driven the growth rate of the overall import value.

I won't repeat my forecast on future foreign trade because my earlier remarks have already covered this part. It is fairly to say that China's foreign trade is faced with some instabilities and uncertainties, as well as some positive factors. I think we are still on a solid foundation to steadily increase both the volume and quality of imports and exports. Thank you.

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Phoenix TV:

You mentioned that imports and exports in the Yangtze River Delta region have rebounded rapidly. Could you explain the situation in more detail? And what work has the GACC done to promote the local recovery of foreign trade? Thank you.

Li Kuiwen:

Thank you for your questions. According to statistics of the GACC, in the first half of 2022, the imports and exports in the Yangtze River Delta region, including Jiangsu, Anhui and Zhejiang provinces, as well as Shanghai, reached 7.14 trillion yuan, an increase of 9.3% year on year. In June, the region's imports and exports rose 14.9% year on year to 1.39 trillion yuan, 0.6 percentage point higher than the overall growth rate of the country in the same period, contributing nearly 40% to the growth of foreign trade. Specifically, in June, imports and exports of Anhui province, Jiangsu province and Zhejiang province increased 19.7%, 17.5% and 16% respectively, which were 5.4 percentage points, 3.2 percentage points and 1.7 percentage points higher than the overall growth rate of the country in the same period. Shanghai has been severely affected by the epidemic. In June, its imports and exports regained positive growth, up 9.6% year on year and 35.6% month on month.

During this period, we have thoroughly implemented the decisions and arrangements of the CPC Central Committee and the State Council, set up special task groups to strengthen coordination and promotion, and introduced special supporting measures to ensure smooth customs clearance and promote the development of foreign trade in the Yangtze River Delta region. We have adopted four main approaches:

First, we have prioritized ensuring front-line human resources. Shanghai Customs promptly arranged working groups to enter key ports such as those in harbors and airports at the earliest opportunity during the regional lockdown in Shanghai. Over 1,300 officers and staff at customs operation sites stayed at their posts to ensure normal operation and improve the operation efficiency of Shanghai's ports.

Second, we have helped enterprises engage in rapid customs clearance. We have prioritized the approval and inspection of imported goods necessary for people's everyday lives, such as grain, meat and natural gas. For emergency supplies, such as medical supplies, first-aid equipment and spare parts, we worked closely with enterprises throughout the whole process. We provided guidelines for them to make inspection appointments online and implemented unaccompanied inspections for rapid customs clearance. We also established a coordination work mechanism to ensure smooth customs clearance in the Yangtze River Delta region. Targeted measures have been implemented to speed up the circulation of goods for import and export in the region. We set up a customs clearance green channel for key supplies from key enterprises, created information sharing platforms, and ensured the rapid customs clearance of goods for import and export in Shanghai ports during the epidemic outbreak.

Third, we have actively helped to smooth foreign trade logistics. We promoted expansion of the supervision model of directly transferring goods between maritime transport vessels and Yangtze River transport vessels, and sped up customs clearance for urgently needed goods. At eligible ports, we have advanced trials of direct unloading for imported goods and direct loading for export goods. Going forward, we will further advance the customs supervision model of waterway logistics in key areas of the Yangtze River Delta region, support expansion of the pilot of departing confirmation model, and continuously improve the efficiency of waterway logistics. We will support enterprises to open rapid customs clearance rail services and improve the facilitation of railway logistics in China.

Fourth, we have coordinated and solved problems reported by enterprises. We have improved the long-term mechanism for serving enterprises, actively coordinated and promoted solving problems and demands of enterprises, effectively guaranteed customs clearance of goods for import and export for white list enterprises, helped enterprises solve difficulties, and ensured the safety, stability and smooth running of industrial and supply chains.

Next, we will continue to implement the deployment requirements of the State Council to ensure logistics run smoothly and maintain the stability of industrial and supply chains, and fully support enterprises to resume work and production. Thank you.

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Bloomberg:

You have just talked about the measures that the GACC has taken to boost imports and exports. My question is mainly about overseas demand. As we have seen, the United States, European, and many other countries are facing the risk of recession, with their global demand declining. What do you think of the growth in international demand in the coming year? My second question is: How do you view the future export growth without regarding the price factor? Thank you.

Thank you for your questions. As I have just said, the international market demand maintained relatively stable, which has opened up broad space for China's export. As for the trend of the second half of the year, as I have said, China's economy is strong and has great potential, and the long-term economic growth remains unchanged. Although there are still some unstable and uncertain factors, our domestic production demand is gradually recovering and improving. Besides, enterprises have resumed production at a fast pace. Therefore, imports and exports will maintain steady growth in the second half of the year. Thank you.

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Beijing Youth Daily:

How did China's imports and exports with other BRICS countries go in the first half of the year? What efforts have been made by the customs in promoting the economic and trade development between China and other BRICS countries? And how do you evaluate the prospect? Thanks.

Li Kuiwen:

Thank you for your questions. As the BRICS chair this year, China held the 14th BRICS Summit recently. Here I would like to make an introduction about our trade with other BRICS countries. Since the BRICS Summit started in 2009, China has seen increasing trade with other BRICS countries, and the imports and exports registered 3.17 trillion yuan in 2021 from 960.21 billion yuan in 2009, with an average annual growth of 10.5%. In the first half of the year, China's imports and exports with other BRICS countries totaled 1.64 trillion yuan, up 14.1% year on year, 4.7 percentage points higher than China's total foreign trade growth. Among them, exports leaped by 20.6% to 817.18 billion yuan; imports jumped by 8.3% to 825.82 billion yuan. Specifically, it shows the following features:

First, China's trade with other BRICS countries has registered a steadily increasing proportion in its total foreign trade. In the first half of the year, China's imports and exports with other BRICS countries accounted for 8.3% of its total foreign trade, up 0.2 percentage point from 2021 and 1.9 percentage points from 2009.

Second, imports of energy and agricultural products grew rapidly. In the first half of the year, China imported 298.98 billion yuan of crude oil, natural gas, coal, and other energy products from other BRICS countries, up 53.3%, accounting for 36.2% of its total imports with other BRICS countries; China's imports of agricultural products expanded 15.6% to 185.46 billion yuan, accounting for 22.5% of its total imports with other BRICS countries.

Third, exports of mechanical and electrical products accounted for more than half, and exports of new energy products increased significantly. In the first half of the year, China's exports of mechanical and electrical products to other BRICS countries reached 455.5 billion yuan, up 16.2%, accounting for 55.7% of the total exports to these countries. Exports of solar and lithium-ion batteries increased by 99.7% and 67.3%, respectively. In the same period, exports of labor-intensive products reached 106.65 billion yuan, up 7.3%.

I would like to take this opportunity to introduce the recent work of customs authorities in promoting the economic and trade development of China and other BRICS countries.

The GACC successfully organized a series of events this year, including a meeting of BRICS heads of customs administrations, customs working group arrangements, and customs enforcement cooperation seminars to promote pragmatic cooperation among BRICS countries in various fields. Relevant achievements have been brought into the 14th BRICS Summit Beijing Declaration. We have made our efforts in the following four aspects:

First, the legal basis for customs cooperation has been enhanced. We actively facilitated the Agreement Between the Governments of BRICS Countries on Cooperation and Mutual Administrative Assistance in Customs Matters. This will provide a solid legal basis for BRICS countries to carry out mutual administrative assistance, capacity building, law enforcement cooperation, and jointly safeguard trade security and facilitation.

Second, an intelligent cooperation consensus has been reached. Upholding the philosophy of cooperation of smart customs, smart borders, and smart connectivity, we promoted the construction of smart infrastructure for customs exchanges of BRICS countries and the smart practice of supervision and administration, carried out coordinated cross-border governance of border administration departments step by step, promoted smart connectivity and alignment of standards among customs authorities and other stakeholders along supply chains to boost connectivity of industrial and supply chains.

Third, customs law enforcement cooperation has been deepened. Guided by the principle of collaboration, co-governance, and common gains, we built a customs enforcement contact platform and capacity-building platform for BRICS countries. We promoted cooperation in areas of information exchanges and joint actions. We enabled smart collaboration to empower customs law enforcement, discussed the application of bid data analysis and artificial intelligence in law enforcement, and enhanced the law enforcement capacity to deal with new forms of smuggling to jointly build a defense line of customs with other BRICS countries.

Fourth, cooperation on customs capacity building has been strengthened. Making full use of the customs training center of BRICS countries in Xiamen, we carried out training exchanges and prepared for a strategic seminar on customs capacity building of BRICS countries. We promoted capacity-building cooperation in customs technologies, joint law enforcement, and talent training.

Next, customs authorities will conscientiously implement the guiding principles of General Secretary Xi Jinping's speech at the 14th BRICS Summit. We will comprehensively deepen international customs cooperation among BRICS countries and further promote the economic and trade development of our country and other BRICS countries. We are full of confidence in the future economic and trade development of the BRICS countries.

Thank you!

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TV Tokyo:

China's customs have not released the quantity of pipeline gas imported from Russia since January this year, and we would like to know this data. Also, what is the reason for not releasing the data? What do you think of the recent China-Russia trade? Thank you.

Li Kuiwen:

Thank you for your questions. Regarding your first question, since the release of statistical data for 2022, customs have continued to release the amount of gaseous natural gas online, and no longer published the data for multi-dimensional statistical groups other than the total import volume. This is mainly to protect the legitimate commercial rights and interests of relevant import and export consignees and consignors and to meet the needs of various data users for analyzing and using customs statistics. This practice is also in line with the international standards. Internationally, there are many countries that do not publish the amount and value of gaseous natural gas grouped by statistical items such as trading partners. Next, customs will continue to ensure data release and statistical services in accordance with the law.

Regarding your second question, let me brief you on relevant trade data. According to customs statistics, in the first half of this year, China's trade with Russia totaled 519.08 billion yuan, and that with Ukraine 35.3 billion yuan. Thank you.

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Tianmu News:

The ninth edition of COVID-19 prevention and control guidelines has shortened the quarantine time for inbound arrivals, which actually puts forward higher requirements for epidemic prevention and control at points of entry. We want to know how customs are doing in science-based and targeted epidemic prevention? Thank you.

Li Kuiwen:

Thanks for your question. Customs resolutely implement the decisions and plans of the CPC Central Committee and the State Council, adhere to the general strategy of preventing imported cases and domestic resurgences and the general policy of dynamic zero-COVID, and strictly and unremittingly take various measures to prevent and control the epidemic at ports. After the ninth edition of COVID-19 prevention and control guidelines was issued, customs have followed the principles of "ensuring epidemic prevention and control in compliance with the law, enhancing coordination, and taking science-based and targeted measures covering different levels and categories," and focused on optimizing the work processes involving sampling and testing of inbound personnel, the proportion of inbound cargo aircraft randomly boarded for quarantine inspection, the epidemic prevention and control for imported goods, and the closed-loop management system for staff in high-risk positions of customs. Customs organized the revision and release of the ninth edition of the technical plan for COVID-19 prevention and control at ports to guide customs at all levels to continue to do well in the pandemic prevention and control at ports, prevent the cross-border spread of the pandemic, ensure the health and safety of people entering and leaving the country, and avoid unnecessary disruption to international traffic and trade.

Regarding more information, my colleague Li Zhengliang, deputy director general of the department of health quarantine at the GACC, made a detailed introduction at a press conference held by the State Council's inter-agency task force on July 8.

It is worth mentioning that since the outbreak of COVID-19, customs staff across the country have devoted themselves a total of 2.47 million times to epidemic prevention and control on the front line, among which they carried out 86,000 missions entering the closed-loop management area. Every day, more than 3,500 officials wear protective suits to fight the virus directly, and more than 20,000 officials perform their duties on the front line against the epidemic. Having worked for more than 900 days, they practice the great spirit of combating COVID-19 with actions.

Next, the GACC will continue to dynamically improve port quarantine measures in accordance with the unified deployment of the State Council's inter-agency task force, strengthen joint prevention and control, and effectively guard the country's ports.

Thank you!

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CCTV Agricultural Rural Channel:

My questions are to Mr. Li. How was China's export of agricultural products in the first half of this year? What are the highlights? Thank you.

Li Kuiwen:

Thank you for your questions. In the first half of this year, China's export of agricultural products grew by 21.7% year on year to 303.1 billion yuan. Among them, exports of aquatic products rose by 14.9% to 72.52 billion yuan, vegetables and, edible mushrooms rose by 5.5% to 37.79 billion yuan, and canned food rose by 55% to 13.75 billion yuan, respectively. It is fair to say that exports of major agricultural products have maintained a steady growth. In the first half of this year, China's import of agricultural products reached 736.07 billion yuan, a year-on-year increase of 5%. Among them, imports of grain increased by 16.6% to 272.48 billion yuan, accounting for 37% of China's total import of agricultural products during the same period. Import of meat dropped by 16.4% to 89.79 billion yuan, and import of aquatic products rose by 34.1% to 54.08 billion yuan. This is the introduction of China's import and export of agricultural products. Thank you.

Shou Xiaoli:

Last question, please.

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ThePaper.cn:

Private enterprises witnessed an outstanding export performance in the first half of this year, accounting for nearly half of the total. Would you like to elaborate on the features of their import and export performances? Thank you.

Li Kuiwen:

Thank you for your question. Starting this year, China has introduced a series of policies and measures to maintain steady increases in both the volume and quality of imports and exports and help companies to tide over difficulties, which energized the market entities 'dealing in foreign trade. In the first half of this year, the number of foreign trade firms registering import and export business rose by 5.5% year on year. Among them, the number of private enterprises grew by 6.9% to 425,000, posing a better performance than overall growth figures. The major features are as follows:

First, in terms of growth rate, import and export of private enterprises grew by 13.6% to 9.82 trillion yuan in the first half of this year, up 4.2 percentage points compared to overall growth, and its share in China's total imports and exports increased by 1.9 percentage points from the previous year to 49.6%, thus further reinforcing the principal position of private enterprises in China's imports and exports.

Second, in terms of product mix, in the first half of this year, export volume of machinery and electronics products produced by private enterprises grew by 15.3%, 6.7 percentage points higher than overall export growth rate. Import volume of agricultural products, basic organic chemicals, pharmaceutical materials, and medicines increased by 6.4%, 14%, and 33.1%, respectively, all outperformed the overall import growth rate.

Third, in terms of market share, in the first half of 2022, while maintaining the growth of imports and exports with traditional markets such as the U.S., Europe, the ROK, and Japan, private enterprises ratcheted up in expanding emerging markets, with their imports and exports with ASEAN, Latin America, and five Central Asian countries up by 20.5%, 16.4%, and 53.3% respectively, all higher than the overall growth.

It is fair to say that the steady growth of China's imports and exports in the first half of 2022 was largely attributable to the strong vitality of various market entities dealing in foreign trade. We focused on ensuring security in the operations of market entities and introduced 10 measures to maintain steady increases in both the volume and quality of imports and exports. Recently, we introduced another seven measures to further help companies to ease their difficulties and lower their costs. For example, for companies affected by COVID-19 and having difficulties in running businesses, if they couldn't pay their taxes in timely but could pay their overdue payments within a set period of time, these companies can be exempted from overdue fines. The request for third-party examination was removed for companies applying for exemption of tariffs and import-related tax on returned products. The requirement to provide proof of warehouse was canceled for companies applying for a quarantine license on imported fruits. The inspection process of imported coatings was streamlined and the Recordation Form for Imported Coatings was no longer checked. Efforts were also made to adjust and improve the inspection requirements for imported crude oil and coal.

Next, we will implement in earnest the policies and measures to help companies to tide over difficulties and work to maintain the steady increases in both the volume and quality of China's foreign trade. Thank you!

Shou Xiaoli:

Thank you, Mr. Li and friends from the media. Today's press conference is hereby concluded. See you next time.

Translated and edited by Wang Yiming, Wang Qian, Yuan Fang, Liu Qiang, Guo Yiming, Liu Sitong, Yan Xiaoqing, Yang Xi, Zhang Tingting, Wang Wei, Ma Yujia, Zhang Rui, Zhang Liying, Cui Can, Li Huiru, David Ball, Tom Arnsten, and Jay Birbeck. In case of any discrepancy between the English and Chinese texts, the Chinese version is deemed to prevail.