EU - China Summit EU27 exports to China up by 21% and imports by 5% in the first ten months of 2011

STAT/12/23

13 February 2012

EU - China Summit
EU27 exports to China up by 21% and imports by 5% in the first ten months of 2011

EU27 trade in goods with China1 has grown significantly over the last decade. EU27 exports to China rose continuously from 26 billion euro in 2000 to 113 bn in 2010. Despite the general decline in EU27 exports in 2009, EU27 exports to China continued to increase. EU27 imports from China rose from 75 bn in 2000 to 248 bn in 2008, then declined to 214 bn in 2009, in line with the general fall in EU27 imports, before reaching a new peak of 283 bn in 2010. As a result, the EU27 trade deficit with China increased from 49 bn in 2000 to 169 bn in 2010.

The data for the first ten months of 2011 show a continuing growth in EU27 trade with China. EU27 exports to China grew by 21%, from 92 bn in the first ten months of 2010 to 112 bn in the first ten months of 2011, while imports rose by 5%, from 232 bn to 244 bn. As a result, the trade deficit decreased from 140 bn to 132 bn. In the ten months of 2011, China was the EU27's second most important trading partner after the USA, accounting for 9% of EU27 exports and 17% of EU27 imports.

On the occasion of the 14th European Union - China summit, which will take place on 14 February in Beijing in China, Eurostat, the statistical office of the European Union, issues data on trade and investments between China and the EU.

Germany accounted for almost half of EU27 exports to China

Among the EU27 Member States, Germany (53 bn euro or 48% of EU exports) was by far the largest exporter to China in the first ten months of 2011, followed by France (11 bn or 10%), Italy and the United Kingdom (both 8 bn or 7%). Germany (54 bn or 22% of EU imports) was also the largest importer, followed by the Netherlands2 (42 bn or 17%), the United Kingdom (32 bn or 13%) and Italy (25 bn or 10%).

All Member States, except Finland, registered deficits in trade with China in the first ten months of 2011. The largest deficits were observed in the Netherlands2 (-36 bn euro), the United Kingdom (-24 bn), Italy (-17 bn), Spain and France (both -10 bn).

Machinery and vehicles3 accounted for 60% of EU27 exports to China in the first ten months of 2011 and one sixth were other manufactured articles3, while these two groups together accounted for more than 90% of imports.

EU27 Member States' trade in goods with China

million euro

EU27 trade in goods with China by product

million euro

EU27 trade in goods with China

million euro

EU27 surplus of 6 bn in trade in services with China in 2010

In 2010, the EU27 exported 22.4 bn euro of services to China, while imports from China amounted to 16.4 bn, meaning that the EU27 had a surplus of 6.0 bn in trade in services with China, compared with +5.1 bn in 2008 and +5.5 bn in 2009. The surplus in 2010 was mainly due to surpluses in other business services4 (+3.1 bn), royalties & license fees (+1.9 bn) and computer & information services (+1.2 bn), partly offset by a deficit in transportation (-1.2 bn). China accounted for almost 4% of total extra-EU27 trade in services.

EU27 trade in services with China

million euro

EU27 direct investment of 7 bn in China in 2010

EU27 Foreign Direct Investment flows (FDI) into China amounted to 7.3 bn in 2010, compared with 5.3 bn in 2007, 6.8 bn in 2008 and 6.5 bn in 2009, while China invested 0.8 bn in the EU27 in 2010, compared with an investment of 0.7 bn in 2007, a disinvestment of 0.3 bn in 2008 and an investment of 0.1 bn in 2009.

EU27 FDI flows with China

(million euro)

• All data for China presented in this release exclude Hong Kong.

• Dutch imports and therefore the trade deficit are over-estimated because of the “Rotterdam effect” where goods destined for the rest of the EU arrive and are recorded in harmonised EU external trade statistics in Dutch ports. This then has a positive effect on the external trade balances with China of those Member States to which the goods are re-exported as these shipments would be recorded as intra-EU trade with the Netherlands rather than extra-EU trade with China. To a lesser extent, Belgian trade figures are similarly over-estimated.

• Machinery and vehicles includes power generating and industrial machinery, computers, electric and electronic parts and equipment, road vehicles and parts, ships, airplanes and railway equipment.

Other manufactured articles include leather, rubber, wood, paper, textiles, metals, building fixtures and fittings, furniture, clothes, shoes and accessories, scientific instruments, clocks, watches and cameras.

• Other business services comprise merchanting and other trade-related services, operational leasing services and miscellaneous business, professional and technical services.