August 22, 2003	Friday	Jumadi-us-Sani 23, 1424

TOKYO, Aug 21: Trade between Japan and China in the first six months of this year grew 33.9 per cent year-on-year, setting a first-half record for the fourth straight year, a government backed trade promoter said on Thursday.

Sino-Japanese trade in the first half reached $60.44 billion, indicating the impact of Sars on trade was lighter than anticipated, said the Japan External Trade Organization (Jetro).

“China’s share of Japan’s global trade in the first half of 2003 reached an all-time high... 14.9 per cent. Although the United States continues to be the top export country of Japan and China second, the Chinese market is gaining prominence,” Jetro said.

“Japanese exports to the United States dropped 1.1 per cent year-on-year, while Japanese exports to China sharply increased about 50 per cent,” it added.

Japanese exports to China were led by electronic parts for personal computer parts and mobile phones, as well as industrial machinery and automobiles, Japan External Trade Organization said, adding that total China-bound shipment was worth $25.76 billion.

Meanwhile, Japan imported $34.69 billion worth goods from China.

Office equipment and audio-visual equipment led Chinese imports, as Japanese firms shift factories to China, Jetro said.

“... further shifting of production to China by Japanese manufacturers and the healthy Chinese domestic demand will increase manufactured imports and exports of electronic parts, automobile parts, working tools, construction machinery and other general machinery.

“As a result, Sino-Japanese trade in 2003 is certain to set a fifth consecutive annual record,” Japan External Trade Organization said.—AFP