The sluggish exports growth indicates the slowing demand from the key global markets, highlighting the risk that the global economic slowdown poses to China.
The country’s slow-moving imports reflect the dwindling domestic demands.
China’s disappointing trade balance comes after China reported that growth in industrial output fell to a three-year low in July.
Simultaneously, the growth in retail sales during the month also fell short of forecasts.
The weak data signals a further slowdown of the economy than previously thought.
Government has already stepped in with some easing mechanisms including lowering the key interest rates and reducing the amount of money the country’s banks must keep in reserve, in a bid to lower borrowing costs for customers and businesses.
Analysts call for further policymaking to trigger growth.
“With the export sector losing speed faster than expected, the government’s current investment stimulus plan looks woefully inadequate,” said IHS Global Insight’s Mr Thornton.