CHINA
IMPORTS
A 7
China's purchases from abroad cost the country 1,345 million dollars during 1933, or 11.7 per cent. less than in 1932 if the value of imports into Manchuria during the latter year be discounted. These are the factual results of the year's trading, interpre- table like most statistics in almost any way suited to the interpreter. The further contraction of the import trade may be regarded as satisfactory from the national trade account point of view; it may be interpreted as unsatisfactory by those who may take it to indicate a decline in the purchasing power of the country; it may be consi- dered satisfactory from the point of view of those who wish to see a revival in inter- national trade, on the grounds that the decline was proportionately much less than in recent years and thus may be indicative of a slowing-down of the effects of the general trade depression; or, again, it may be considered unsatisfactory by the same trade rivi- valists in its simpler aspect as a further example of a veritable decline in international
commerce.
The following is a condensed summary of the factors that may be said to have had favourable influence on the import section of China's trade during 1933: the absence of such Sino-Japanese hostilities as occurred in the important Shanghai area during the previous year; the rise in the price of Silver in relation to the currencies of the princi- pal countries with which China has commercial associations, which should stimulate purchases from abroad provided that China's purchasing power has not suffered in the meantime by the inverse effect of the enhanced silver exchange on purchases of Chinese produce by these countries; the devaluation of the United States dollar after the United States abandoned the gold standard, cheapening the cost of purchases from that country; and the more peaceful conditions ruling in many parts of China.
The unfavourable factors, unfortunately in the majority, were: the Japanese inva- sion and seizure of Jehol on behalf of the so-called State of "Manchukuo", and the resulting tension in North China; political disturbances in the province of Fukien; the incomplete success of the compaign against the Cominiunists in the province of Kiang- si, the civil warfare and Communistic upheavals in Szechwan; the Yellow River floods; the imposition of a generally higher import tariff in China; higher provincial taxation in support of domestic industries and Communist-supression compaigns; smuggling, and the unfair competition it engendered between honest trade and illegally imported goods; the depreciation of certain Chinese provincial currencies; the extremely unre- munerative prices obtainable throughout the year for most export produce; and the generally poor economic state of the country as a result of the past several years of unprofitable export trading.
Imports Direct from Foreign Countries
In thousands of standard dollars (000 omitted)
Rice
Raw cotton
Metals and ores
Wheat ... Cotton goods Chemicals
...
...
...
1931 St. $ 100,298
1932. St. $
1933 St. $
185,759
150,272
Kerosene oil, liquid fuel, and lubricating oil
...
124,261
116,968
115,435
...
...
...
...
279,010
185,179
98,152
...
...
...
132,625
93,639
97,067
...
136,542
80,753
87,725
*
...
•
188,640
139,801
71,255
...
...
...
...
...
75,895
54,260
51,383
Paper
Sugar
...
...
...
70,741
59,480
43,826
133,815
...
72,810
42,026
Dyes and pigments...
61,449
40,103
40,127
Machinery
Timber...
...
...
67,937
48,161
39,181
...
54,039
32,221
37,314
...
50,735
34,767
31,724
Flour
...
Tobacco
...
48,173
54,616
29,699
...
...
...
...
...
97,675
44,110
29,644
Wool and cotton unions and woollen goods +
* Exclusive of raw cotton.
EXPORTS
+ Exclusive of sheep's wool.
Produce exporters in China were up against the whole gamut of the hindrances to practical commerce including tariff barriers, perferential duty rates, import quotas, prohibitions, licenses, exchange restrictions, and tlie uncertain exchange movements of