China increased purchases of American goods in the month of September to a record high of $9.9 billion, according to reports.
Oil, soybean, and car imports drove the growth alongside a strengthening Chinese economy, according to a Bloomberg analysis. The growth comes after the United States and China signed the Phase One trade deal in January, in which China promised to buy $200 billion more in U.S. goods than its 2017 amount by the end of 2021. (RELATED: State Department Condemns China Over Pending Sanctions On Military Contractor Companies Over Taiwan Arm Sales)
However, despite the record-setting month in September, China is only at about 38.5% of the mark it is supposed to reach by the end of this year, Bloomberg reports. This shortage is thought to be in large part due to the coronavirus significantly slowing the global economy, particularly in China, for much of the year. Monthly exports from the United States to China have been gaining momentum as the year progresses and the Chinese economy recovers, per Bloomberg.
As of September 30, China had purchased $58.8 billion in goods covered by the agreement, according to @ChadBown. Purchases should have reached $108 billion by that time to be on track toward the full-year target.https://t.co/qPmedkRyT9
— Peterson Institute (@PIIE) October 27, 2020
Much of the increase was driven by the CCP importing a record amount of American crude oil, Bloomberg’s analysis finds. Soybean exports, which have been a focus of the Trump Administration in trade negotiations, have increased by over 600% to China, according to Bloomberg. Still, Chinese data analyzed by Bloomberg indicates that only 35% of promised farm products for 2020 have been purchased so far.