Export prospects grim in China

Export prospects in the next six months are "grim" due to rising uncertainties in the global economy, MOC spokesman Shen Danyang said on Wednesday. "The government will try to stabilize export policies, including those related to tax rebates, currency, financing, and credit insurance" to prevent exports falling too steeply, he said. He made the remarks as the eurozone struggles with a debt crisis and the United States tries to tackle a high unemployment rate. Export growth declined in the past few months to 17.1 percent in September, the lowest since February. The 110th Canton Fair, which opened on Friday, has seen a reluctance on the part of both overseas buyers and Chinese exporters to confirm long-term orders, Shen said. Export orders in the first three days stood at $10.19 billion, up only 14.5 percent from 2010. Just 13 percent of the orders were for six months and beyond. Fair spokesman Liu Jianjun said exports will be hit by currency appreciation, the rising cost of labor and sluggish external demand.