China's exports unexpectedly grew last month as America's speedy recovery from the pandemic induced demand.

Delayed factory production in India, as the country faces difficulties and struggles with a coronavirus crisis, also helped boost the global market for Chinese goods.

China's exports in dollar terms rose by more than 32 per cent from a year earlier to almost USD 264bn. In the same month imports grew at the fastest pace in more than a decade, rising by 43 per cent from a year ago.

As the country struggles with a coronavirus crisis, factory production in India also helped boost the global market for Chinese goods. China's exports in dollar terms rose by more than 32 per cent from a year earlier to almost USD 264bn. In the same month imports grew at the fastest pace in more than a decade, rising by 43 per cent from a year ago.

Despite the ongoing trade tensions with the United States and other countries, China's exports for a month were almost USD 43bn more than its imports, which is a more than threefold increase. It is highlighted by the economists that the figures are heavily placed, as they are compared to the period of previous year, when the country was brought to a standstill by strict lockdown measures.

The recovery of the world's second largest economy still faces several major challenges. It is expected by the analysts that, China's gross domestic product growth will slow down from the record 18.3 per cent expansion in the first quarter of 2021. That comes as the Covid-19 pandemic interrupted the supply chains around the world, slowing the movement of goods and raising up the cost of shipping. The global shortage of microchips, used in everything from cars to phones, is also hurting manufacturers.

China's official manufacturing purchasing managers' index, last week showed that factory activity growth was slowed in April from the previous month. China indefinitely suspended key economic dialogue with Australia, which is the latest in a growing diplomatic rift between the countries. Relations have declined since Australia called for a probe into the origins of Covid-19 and banned Chinese telecoms giant Huawei from building its 5G network. China, last year had imposed sanctions on Australian goods such as wine and beef. In a statement, a Chinese government commission accused Australia of having a "Cold War mindset".