DFA: PHL-China trade posts 32% growth in 1st 10 months

Trade between the Philippines and China went up by 32 percent in the first 10 months of 2011, the Philippine embassy in Beijing reported. In its report, the embassy said this shows the robustness of Manila-Beijing bilateral economic relations despite weaknesses in the global economy. Citing figures from the General Administration of China (GAC), the embassy said total trade between the two countries reached $26 billion in the first 10 months of the year, an increase of 31.69 percent from figures of the same period last year. Embassy Charge d' affaires (CDA) Alex Chua welcomed these statistics "as an indication of the strength, resilience and potentials of the trade and economic ties between the two countries. "The momentum is positive and encouraging for both sides especially as both countries aim to meet the $60-billion trade goal by 2016, which was set jointly by President Benigno Aquino III and Chinese President Hu Jintao in September during the President's visit to China," Chua added. He added the embassy is confident the current trends "will be sustained under the Association of Southeast Asian Nations (ASEAN)-China Free Trade (ACFTA) regime." From January to October, Philippine exports to China reached $14.6 billion while Chinese exports to the Philippines topped $11.4 billion, expanding by 21 percent and 50 percent, respectively. Dominating trade between the two countries are electronic and electrical products, industrial parts, nickel, copper, liquefied petroleum gas, fertilizer and ceramics. Chua added that Philippine agricultural and agri-processed products, furniture, iron and steel and logistics-related goods have also been gaining headway in the Chinese market. However, the embassy advised exporters to continue to tap opportunities in China, which has fast-rising income and consumption levels and rapid urbanization rates. ASEAN Also, Chua cited "the immense benefits that Philippine producers stand to gain from the free trade and economic agreements between ASEAN and China." In recent years, ASEAN countries have become China's top trading partners, with ASEAN exports to China growing at "astronomically high rates," the Department of Foreign Affairs said. The DFA said China is the Philippines' third biggest trading partner. Philippine-China trade reached its highest level in 2007, with $30.6 billion, before contracting in the next two years as a result of the global financial crisis. "The recovery of the bilateral trade beginning in 2010 and a possibly strong finish with this whole year's figures reaching pre-crisis levels augur well for the important economic relationship between the two countries, which is also seeing steady expansion in key sectors such as tourism, investments and development assistance," the DFA said. — LBG, GMA News