Financial Times FT.com

EU trade chief warns China's surplus is 'unsustainable'

By Richard McGregor in Beijing and Andrew Bounds in Brussels

Published: June 12 2007 03:00 | Last updated: June 12 2007 03:00

China's ballooning trade surplus was yesterday described as "unsustainable" by the European Union's trade chief after figures showed it had risen by almost 75 per cent, year on year, in May.

Peter Mandelson, the trade commissioner, said he would demand action from Bo Xilai, China's commerce minister, when they met today after Beijing said the surplus had grown strongly in May to $22.45bn (£11.41bn, €16.82bn), a 73 per cent increase on the same period last year.

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