Chinese Imports From Hong Kong Raise Questions: Chartby
Surging Chinese imports from Hong Kong have raised concerns about the suspected use of fake trade invoices by companies seeking to move money out of the country. Shipments from Hong Kong to the mainland rose 203.5 percent in April after increasing by 116.5 percent in March. Analysts say the money outflow is being fueled by fears that the yuan will weaken. "As long as there is an expectation of renminbi depreciation against the dollar, there will be massive outflow of funds," said Iris Pang, a greater China economist at Natixis SA in Hong Kong.