4:04pm: One of the key numbers for Australia in the China trade data is their export numbers, says JPMorgan chief economist Stephen Walters.
Mr Walters said weakness in China's export numbers suggests production is slowing down in areas such as steel and cement. This could in turn lead to weaker exports from Australia to China.
"Now, we're yet to see that yet. The export numbers have been holding up OK out of Australia. ... But it does probably mean a bit of a weaker patch for Australian exports to China as well," Mr Walters said.
"We're not taking about abrupt slowdowns, but clearly the numbers today were pretty soft."
Mr Walters said he expect the weakness in the economic data out of China to continue, possibly through to the end of the year, as the Chinese government continues to try and slow down credit growth.
But he said improving conditions in some of China's biggest export markets, such as Japan, Europe and the US, meant there would be sufficient demand for Chinese products, especially next year, in those countries.
"I don't think we should get too downbeat. There are some weak numbers that have come out but the places that China exports to ... are definitely improving," he said.
AGO Price at posting:
79.0¢ Sentiment: Hold Disclosure: Held
