China has overtaken the U.S. to become the EU's biggest trade partner while the rest of the world slides into the red due to the Covid-19 pandemic.
The country pushed past the United States in the third quarter to become the European Union's top trade partner, as the pandemic disrupted the US while Chinese activity rebounded.
Over the first nine months of 2020, trade between the EU and China totalled 425.5 billion euros ($514 billion), while trade between the EU and the United States came in at 412.5 billion euros, according to Eurostat data.
These figures show the year-on-year change in GDP for some of the world's richest countries, with China's economy larger than it was a year ago while others have seen massive decline
For the same period in 2019, the EU's trade with China came in at 413.4 billion euros and 461 billion euros with the US.
Eurostat said the result was due to a 4.5 percent increase in imports from China while exports remained unchanged.
'At the same time trade with the United States recorded a significant drop in both imports (-11.4 percent) and exports (-10.0 percent),' Eurostat said.
The EU has been China's top trade partner since 2004 when it overtook Japan, but this is the first time the inverse has been true, France's Insee statistics agency said Wednesday.
After a Covid-19-related shock in the first quarter the Chinese economy has rebounded, with the economy growing year-on-year in the third quarter.
Insee said Chinese imports from Europe picked up in the third quarter, while purchases of personal protective equipment had boosted Chinese exports.
Workers are seen during the production process of wind turbines during a government organised tour at Goldwind Technology in Yancheng, in Jiangsu province on October 14
China's economy has grown 4.9 per cent in the third quarter from last year proving the country is back to its pre-pandemic trajectory with consumer spending and industrial production going back to normal levels.
The figures are far more favourable than the dire economic data coming out of most Western countries, showing how China has bounced back quickly despite being the first country to suffer the coronavirus outbreak.
As the virus spread across the globe, China started to bring the outbreak under control and began to reopen its economy, growing 6.8 per cent in the first quarter of this year, and 3.2 per cent in the April-June quarter.
China has been widely condemned for its handling of coronavirus.
After initially covering up the outbreak, Beijing obscured an investigation into how it started and published infection rates which have been widely questioned and partly blamed for the West's slow response to prepare for the pandemic.
Since China fought off the outbreak, Chinese firms have taken advantage of their good fortune while their global rivals grapple with reduced manufacturing capacity.
Chinese firms have benefited from strong global demand for masks and medical supplies, with exports rising 9.9 per cent in September from a year earlier while factory activity also picked up.
The country's technology sector has also taken advantage of the work-from-home phenomenon with apps including DingTalk and WeChat bringing in huge revenues.
Now the International Monetary Fund is projecting China's economy to expand by 1.9 percent in 2020 which means it'll be the only major world economy to grow this year.
It comes as a new study that found traces of coronavirus in US blood samples from December last year is adding to the growing evidence that the virus was circulating for months before China announced its existence, casting more shadows over the truth about the pandemic and fuelling suspicions of a cover-up by Beijing.
Claims the global outbreak began in a livestock market in Wuhan last winter have crumbled in the face of scientific evidence proving the virus was all over the Western world weeks and even months before China declared the first cases to the World Health Organization on December 31.
Research published on Monday revealed that 39 blood samples taken between December 13 and 16 last year in California, Oregon and Washington state had tested positive for Covid antibodies, meaning the people who gave them had been infected weeks earlier.
The evidence is the earliest trace so far of the virus on US soil, and a further 67 samples from between December 30 and January 17 tested positive in Connecticut, Iowa, Massachusetts, Michigan, Rhode Island and Wisconsin.
It adds to a growing body of proof that the virus had spread thousands of miles outside of China long before its existence was acknowledged. Scientists in Italy say they now have proof the virus was there in September 2019, traces of it were found in Brazil in November, a French hospital patient had it in his lungs in December, and the virus was present in sewage in Spain in January.
Ex-Nigerian President, Olusegun Obasanjo, has urged the board of the African Development Bank to ignore calls for an independent investigation of its President, Akinwumi Adesina, by the United States Government.
Obasanjo in a letter dated May 26 to Kaba Niale, Chairman of the AfDB board of governors, urged the organisation to follow laid down processes to protect and preserve the bank.
He asked African leaders to speak against introduction of alien practices being recommended by some parties given that such recommendation falls outside the laid down procedures, laws, rules and regulations of the bank.
He said, “Unfortunately, the United States Government, through the US Treasury Secretary, has written a public letter (that was also distributed to the press globally) to disagree with the conclusions of the ethics committee of the board of directors and the Chairman of the board of governors of the bank.
“Instead of accepting the exoneration of the President of the bank, they called for an independent investigation.
“This is outside of the rules, laws, procedures and governance systems of the bank. The US Treasury Secretary disparaged the bank and ridiculed the entire governance system of the bank which has been in place since 1964.
“This is unprecedented in the annals of the African Development Bank Group. If we do not rise up and defend the African Development Bank, this might mean the end of the African Development Bank, as its governance will be hijacked away from Africa.
“As Africa faces COVID-19, Dr Adesina again took bold measures to ensure the bank can respond proactively to support African countries and got its board of directors to approve a $10bn crisis response facility to support African countries. In addition, the bank successful launched a $53bn “Fight COVID-19” social impact bond on the international capital market, secured at 0.75 per cent interest rate.”
In a statement on Wednesday, Adesina maintained his innocence as allegations of corruption and other forms of misconduct against him rise.
The United States Department of Treasury had called for an independent of the allegations against Adesina despite the AfDB clearing him of all wrongdoing.
He said, “In spite of unprecedented attempts by some to tarnish my reputation and prejudice the bank’s governance procedures, I maintain my innocence with regard to trumped up allegations that unjustly seek to impugn my honour and integrity, as well as the reputation of the African Development Bank.”