The Chinese government published new trade data showing a rise in exports just as a new round of US tariffs is set to begin in September.
The Middle Kingdom saw exports rise in July by 3.3 percent, according to official China customs data. The increase baffled economists around the region. Most had forecasted a two percent decrease compared to same time last year.
Additionally, China showed it was still winning the trade war against the US with a trade surplus with the world’s largest economy totaling $27.97 billion in July.
The Chinese trade surplus with the US from January to July this year equaled $168.5 billion, according to the data.
Economist believe the weakening Chinese yuan was buoying Chinese trade and will dampen the impact of US tariffs in the future.
“The weakening yuan is helping the exporters in China to export not just to the US because it dampens the impact of the tariff hike, but also help them to export to other countries,” said Lu Yu, a portfolio manager at Allianz Global Investors on US TV.