Trade surplus in china?

i am a college student in macau, china. when i read newspaper yesterday, i met a question. hope you can help me.





http://www.ftchinese.com/sc/story_englis...


as data said, chinese trade surplus hits $27bn despite costlier imports this october.


i am confused that RMB has increse in value few months before, in my opinion, it should resuld in dropping of export and rising of import, which it was a tendency to be trade deficit.


but the fact is, accoding to today's news, china will continue to be trade sulplus.


why? is it because inflation these days serious in china?





do hope you can help me.


thanks for your patient.

Trade surplus in china?
Dude


current and capital account





the current account consists of visible and invisble trade. Visible trade is in goods which can be seen. Invinsible trade is in services like consulting.





The capital account consists of trade in assests, and consists of the capital (not same as mentioned above) and financial account. the capital account is direct foregn investment i.e. bulding a factory abroad . wheras the financial account is tradng in foriegn assests.





there may have been a trade defecit in the current account as mentioned , but my have bee compensated by a larger trade surplus in the capital account.