China trade figures signal recovery

A new report shows stronger trade figures for china in September, signaling that its economy is on the recovery track.

The General Administration of Customs says the world's third-largest economy posted a 21.3 percent decline in exports to $846.6 billion in September from a year earlier while its imports dropped 3.5 percent to $103 billion in the same period.

The figures show a slower pace than in the previous month, when exports plunged 23 percent, and imports were down 17 percent.

"This is good news for China's recovery. Stronger external demand will provide an alternative source of support for growth and provide scope for Beijing to start tightening policy gradually from early 2010," Brian Jackson, an economist, told Reuters.

China's trade surplus stood at $12.9 billion in September from $15.7 billion in August.

The report also shows a 26 percent fall to $135.5 billion in trade surplus over January to September — down 26 percent compared with the same period in the previous year.