A clerk counting yuan and US dollar notes at a bank. Photo: AFP

China’s foreign exchange reserves expanded to US$3.1017 trillion at the end of May, from US$3.0915 trillion at the end of April.

China’s gold reserves stood at 62.64 million ounces, according to the People’s Bank of China (PBoC). The total value of the gold reserves reached about $108.29 billion, up from $106.67 billion a month ago.

China’s forex market operated steadily last month, with demand and supply basically balanced, said Wang Chunying, a spokesperson for the State Administration of Foreign Exchange.

Wang attributed the pick-up in May to multiple factors including exchange rates and changes in asset prices.

Despite a complex external economic environment amid the Covid-19 pandemic, Wang said China’s economy has seen a gradual restoration back to normal, and it has resilience, potential and the room to maneuver, providing solid foundations for the stability of forex reserves.

With the implementation of proactive fiscal policies and monetary policy tools directly targeting the real economy, the sound long-term outlook of the country’s economy will support the stability of the forex scale, said Wen Bin, chief analyst at China Minsheng Bank.

Exports and imports

China’s exports rose by 1.4% year on year to 1.46 trillion yuan in May. Imports fell 12.7% to 1.01 trillion yuan last month, resulting in a trade surplus of 442.75 billion yuan, the General Administration of Customs said.

Foreign trade of goods decreased by 4.9% year on year to 2.47 trillion yuan in May.
In the first five months, the foreign trade of goods dropped by 4.9% year on year to 11.54 trillion yuan, maintaining the same level of decrease during the January-April period.

During the January-May period, ASEAN remained China’s largest trading partner with trade up by 4.2% year on year to 1.7 trillion yuan, accounting for 14.7% of China’s total foreign trade.

Trade with the European Union, the United States and Japan decreased during the period, GAC data showed.

During the same period, the foreign trade volume of private enterprises expanded by 1.8% to 5.11 trillion yuan, accounting for 44.3% of China’s total foreign trade volumes, up by 2.9 percentage points from the same period last year.

Financial institutions

Total assets of China’s financial institutions reached 332.94 trillion yuan at the end of the first quarter, up 9.8% from the same period last year, said the PBoC. Their total liabilities rose 9.5% to 302.59 trillion yuan.

Specifically, banking institutions’ total assets grew 9.5% to 302.39 trillion yuan, while their total liabilities gained 9.1% to 276.91 trillion yuan.

Securities institutions’ total assets increased by 13.5% to 8.83 trillion yuan. Their total liabilities increased by 15.6% to 6.46 trillion yuan.

Insurance institutions’ total assets rose by 13.7% to 21.72 trillion yuan, while their total liabilities reached 19.22 trillion yuan, up 14.1% year on year.

Company news

Huawei AR502H recently won its first Best of Show Award Grand Prize in the IoT category at Interop Tokyo 2020, the largest ICT exhibition in Japan, according to a statement published on the website of Huawei Technologies.

Huawei AR502H – a next-generation edge computing IoT gateway – stands out with its open edge computing architecture, flexible scalability, industry-leading AI computing power and extensive IoT interfaces (including IP-based PLC and 5G uplink), helping to establish the best practices in the industrial IoT field.

The Best of Show Award is an iconic award by Interop Tokyo, one of the most prestigious events in the ICT industry. Each year, hundreds of solutions are reviewed by the panel of judges made up of authoritative industry experts and university professors, after which they select the most innovative products and solutions that have the most cutting-edge technologies and highest commercial value.

Geely Holding Group, a Hong Kong-listed Chinese carmaker, reported a 20% year-on-year growth in car sales in May. Last month, Geely sold a total of 108,822 vehicles, up 3% from April.

In the first five months, the company’s sales volume rose 30% to 420,317 vehicles from the same period last year. The company aimed to sell 1.41 million vehicles this year.

This story was written by Xu Jiangshan and Nadeem Xu and first published at ATimesCN.com.