China can meet 2012 foreign trade target: MOC

The Ministry of Commerce (MOC) said Tuesday that China can achieve its 10-percent growth target for exports and imports in 2012 if the global economy does not worsen further.

Exports and imports rebounded in May and trade growth has maintained good momentum in June, MOC spokesman Shen Danyang said at a regular press briefing.

China's imports and exports grew 14.1 percent year on year to 343.58 billion U.S. dollars in May, breaking its monthly trade record set in November 2011, when foreign trade amounted to 334.11 billion U.S. dollars.

Shen said rising labor and raw material costs, shrinking external demand and worsening trade conditions dragged down China's export growth for the first five months.

China's exports to the European Union, its largest trading partner, dropped 0.8 percent year on year during the January-May period, with exports to Germany, France and Italy falling 3.4 percent, 3 percent and 25.1 percent, respectively.

Waning domestic demand, moderation in processing trade and falling global commodity prices slowed China's import growth during the first five months, Shen said.

Foreign direct investment (FDI) in China edged up 0.05 percent year-on-year to hit 9.23 billion U.S. dollars in May, ending continuous declines for six consecutive months, according to MOC statistics.

The slight FDI rebound last month showed that foreign investors have sped up the pace of decision-making and investing in China, Shen said, adding that multinational companies remain upbeat about China's market.