China November trade sinks under virus pressure, rate hikes

China's imports and exports shrank in November as global demand weakened and anti-virus controls weighed on the second-largest economy.

Exports sank 9 per cent from a year earlier to USD 296.1 billion, worsening from October's 0.9 per cent decline, customs data showed Wednesday. Imports fell 10.90 per cent to USD 226.2 billion, down from the previous month's 0.7 per cent retreat.

The country's global trade surplus narrowed by 2.5 per cent from a year earlier to USD 69.9 billion.

Chinese trade was forecast to weaken as global demand cooled following interest rate hikes by the Federal Reserve and central banks in Europe and Asia to rein in surging inflation.

Chinese consumer demand has been hurt by a "zero-COVID" strategy that has repeatedly shut down large sections of cities to contain virus outbreaks. That has disrupted business and confined millions of people to their homes for weeks at a time.