China's exports dip 12.4% in June as global demand weakened amid rate hikes

China's exports tumbled 12.4 per cent in June from a year earlier as demand weakened after central banks raised interest rates to curb inflation.

Customs data released Thursday showed imports slid 6.8 per cent.

Trade weakness adds to downward pressure on the world's second-largest economy. Global consumer demand has weakened after the Federal Reserve and central banks in Europe and Asia raised interest rates to bring inflation down from near multi-decade highs by reining in business and consumer activity.

In January-June, China's total trade including imports and exports fell nearly 5 per cent from a year earlier. Exports slipped 3.2 per cent and imports declined 6.7 per cent as prices of commodities like oil fell and demand inside China also faltered.

Trade also has been dampened by tensions with Washington and restrictions on access to US processor chips and other technology in a feud with Beijing over security and Chinese industrial policy. Chinese factories assemble most of the world's smartphones and other electronics.