China’s economy is getting a boost from soaring demand for tech products that make it easier and more efficient for Americans to work from home during the COVID-19 pandemic, according to economists at one Wall Street bank.
Tech shipments from China soared 37% from a year earlier in the April-through-June quarter, contributing 2.4 percentage points to the country’s overall export growth of 2%, wrote William Deng and Tao Wang, Hong Kong-based economists at investment bank UBS.
“Export shipments of automatic data processing units and parts, which include computers, tablets, monitors and parts, have seen a significant upswing since April,” according to Deng and Wang, who said Korea and Taiwan are also seeing “significant acceleration.”
Purchases by the U.S. surged 7.8% even as the total volume of imports into the world’s largest economy shrank 20%.