Budapest Post

Cum Deo pro Patria et Libertate
Budapest, Europe and world news

Virus response helps make China, Taiwan, Vietnam poster boys for export recovery

Virus response helps make China, Taiwan, Vietnam poster boys for export recovery

China, Taiwan and Vietnam were among the only economies who brought the spread of the coronavirus under control early on, resulting in strong trade recoveries.

A new study has confirmed the polarised impact the coronavirus pandemic has had on the global trade recovery, with East Asian economies powering ahead of those in the West.

China, Taiwan and Vietnam are the only major trading economies whose exports have recovered strongly, with all three reporting strong growth in the third quarter of 2020, according to research by the United Nations Conference on Trade and Development (Unctad).


Taiwan’s exports grew by 6.4 per cent in the third quarter from a year earlier.


The trio were among the only economies who brought the spread of Covid-19 under control early on – although the individual tactics employed
were very different.

Vietnam, whose exports surged by 10.9 per cent in the third quarter from a year earlier – the highest growth rate in the world, Unctad said – has reported only 1,141 cases of coronavirus as of Wednesday, with just 35 deaths.

China’s exports grew by 8.8 per cent in the third quarter, and while it had a crippling initial outbreak, with 85,715 cases and 4,634 deaths reported, the spread has slowed significantly and world’s most populous nation currently has only 247 active cases, thanks to severe and at the times controversial lockdown measures.

In Taiwan,exports grew by 6.4 per cent in the third quarter from a year earlier. It has reported a total of 543 cases of coronavirus, with only seven deaths since the start of the pandemic and none for more than six months.

Turkey was the only other nation within the Unctad dataset to show a recovery in exports, although this was only marginal 0.7 per cent.

In contrast, many other economies are still suffering from large numbers of infections and an inability to kick-start their trade economies, with exports from Japan, the United States and the European Union shrinking by between 11.6 and 9.7 per cent year on year in the third quarter, according to the Unctad’s Global Trade Update.

“No region was spared from the fall in international trade in the second quarter of 2020, but the sharpest decline was for the West and South Asia regions, where imports dropped by 35 per cent and exports by 41 per cent. As of July, the fall in trade remains significant in most regions except for East Asia,” wrote Unctad’s economists, who highlighted “China’s notable recovery”, with imports also bouncing back in recent months.

The economists also found major divergences between poorer and richer nations in terms of economic recovery, but also access to traded medical goods.

While exports from developing nations fell by 6 per cent year on year in July, developed nations saw their shipments fall 22 per cent. This shows the structural nature of value chains, with poorer nations generally making things that are consumed in richer nations.

But these richer nations, despite their trade economies remaining sluggish, have “100 times” more access to essential Covid-19 fighting medical goods, per capita.

“While it should be expected that the increase of per capita imports of Covid-19 products would be larger for wealthier countries, the sheer difference is staggering,” Unctad’s analysts wrote.

This imbalance will stymie the global recovery from the pandemic, they added, and does not bode particularly well for even distribution of vaccines in the future.

China GDP: economy grew by 4.9 per cent in third quarter of 2020


“While at least some low-income countries have the capacity to locally manufacture some protective equipment, this may not be the case for vaccines as manufacturing and logistic capacities are generally weaker in poorer countries,” Unctad’s analysts added.

China’s trade recovery has helped revive its economy, following a historic 6.8 per cent contraction in the first quarter. Chinese gross domestic product grew by 4.9 per cent year on year in the third quarter,with services providing an additional engine of growth, after manufacturing and exports powered the rebound of 3.2 per cent in the second quarter.

Nonetheless, exports remain a fundamental part of the recovery. China’s share of global exports rose from 13.3 per cent at the end of 2019 to 17.2 per cent in the second quarter of 2020, according to Oxford Economics.

Unctad said that the global medical supplies trade peaked in May at 74 per cent growth year on year. The World Trade Organization previously estimated that China was responsible for 44 per cent of all personal protective equipment trade in the first half of 2020.

AI Disclaimer: An advanced artificial intelligence (AI) system generated the content of this page on its own. This innovative technology conducts extensive research from a variety of reliable sources, performs rigorous fact-checking and verification, cleans up and balances biased or manipulated content, and presents a minimal factual summary that is just enough yet essential for you to function as an informed and educated citizen. Please keep in mind, however, that this system is an evolving technology, and as a result, the article may contain accidental inaccuracies or errors. We urge you to help us improve our site by reporting any inaccuracies you find using the "Contact Us" link at the bottom of this page. Your helpful feedback helps us improve our system and deliver more precise content. When you find an article of interest here, please look for the full and extensive coverage of this topic in traditional news sources, as they are written by professional journalists that we try to support, not replace. We appreciate your understanding and assistance.
Newsletter

Related Articles

0:00
0:00
Close
Severe Heatwave Claims 2,300 Lives Across Europe
Declining Beer Consumption Signals Cultural Shift in Germany
Emails Leaked: How Passenger Luggage Became a Side Income for Airport Workers
Polish MEP: “Dear Leftists - China is laughing at you, Russia is laughing, India is laughing”
Western Europe Records Hottest June on Record
BRICS Expands Membership with Indonesia and Ten New Partner Countries
Elon Musk Founds a Party Following a Poll on X: "You Wanted It – You Got It!"
China’s Central Bank Consults European Peers on Low-Rate Strategies
France Requests Airlines to Cut Flights at Paris Airports Amid Planned Air Traffic Controller Strike
Poland Implements Border Checks Amid Growing Migration Tensions
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
Amazon Reaches Major Automation Milestone with Over One Million Robots
Extreme Heat Wave Sweeps Across Europe, Hitting Record Temperatures
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
Robots Compete in Football Tournament in China Amid Injuries
China Unveils Miniature Insect-Like Surveillance Drone
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Germany Votes to Suspend Family Reunification for Asylum Seekers
Budapest Pride Parade Draws 200,000 Participants Amid Government Ban
Southern Europe Experiences Extreme Heat
Xiaomi's YU7 SUV Launch Garners Record Pre-Orders Amid Market Challenges
Jeff Bezos and Lauren Sanchez's Lavish Wedding in Venice
Russia Launches Largest Air Assault on Ukraine Since Invasion
Massive Anti-Government Protests Erupt in Belgrade
Iran Executes Alleged Israeli Spies and Arrests Hundreds Amid Post-War Crackdown
Hungary's Prime Minister Criticizes NATO's Role in Ukraine
EU TO HUNGARY: LET THEM PRIDE OR PREP FOR SHADE. ORBÁN TO EU: STAY IN YOUR LANE AND FIX YOUR OWN MESS.
Hungarian Scientist to Conduct 30 Research Experiments on the International Space Station
NATO Members Agree to 5% Defense Spending Target by 2035
NATO Leaders Endorse Plan for Increased Defence Spending
U.S. Crude Oil Prices Drop Below $65 Amid Market Volatility
International Astronaut Team Launched to Space Station
Macron and Merz: Europe must arm itself in an unstable world
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
Iran Intensifies Crackdown on Alleged Mossad Operatives After Sabotage Claims
Trump Praises Iran’s ‘Very Weak’ Response After U.S. Strikes and Presses Israel to Pursue Peace
Oil Prices Set to Surge After US Strikes Iran
BA and Singapore Airlines Cancel Dubai Flights Amid Middle East Tensions
Trump Faces Backlash from MAGA Base Over Iran Strikes
Meta Bets $14 B on Alexandr Wang to Drive AI Ambitions
FedEx Founder Fred Smith, ‘Heart and Soul’ of the Company, Dies at 80
Chinese Factories Shift Away from U.S. Amid Trump‑Era Tariffs
Pimco Seizes Opportunity in Japan’s Dislocated Bond Market
Labubu Doll Drives Pop Mart to Status as China’s Most Valuable Toy Maker
Global Coal Demand Defies Paris Accord Goals
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
×