A view of Lujiazui, Shanghai Photo: VCG

　　Editor"s Note:

　　Currently, China"s economy is steadily advancing along the path of high-quality development, even as domestic and international circumstances become increasingly complex. Some Western media, due to misunderstanding or bias, have repeatedly questioned or even distorted China"s economic development. Accordingly, the Global Times launches the "Q&A on China"s Economy" column to publish opinion pieces to present facts and clarify perceptions.

　　Recently, some foreign media have seized on China"s July trade data, touting its "surging" exports and three consecutive months of surpluses above $100 billion as proof of a "China squeeze" or "China shock" for the rest of the world. The figures are real, but the conclusion drawn from them is not. In focusing on the headline numbers, they have overlooked the factors behind China"s trade surplus.

　　China"s three consecutive months of $100 billion-plus trade surplus is mainly attributable to a combination of rising export values and falling import costs. On the export side, the prices of China"s goods have risen. Since last year, the prices of China"s high-value exports have increased significantly.

　　In the first half of this year, the export value of memory chips surged 113.2 percent year-on-year, while that of solar cells rose 19.6 percent. By weight, however, solar cell export volume fell 1.9 percent.

　　Therefore, a larger trade surplus in value does not necessarily mean higher export volumes year-on-year, let alone any "squeeze" or "dumping." The international market demand for these high-tech products remains strong, with some even in short supply. The so-called "export shock" is hardly justified.