Shipping industry benefits from China's trade deficit

Shipping companies, struggling with a market downturn in recent years, will benefit from a strong increase in China's imports in March, which has led to a deficit in trade figures, companies and analysts said.

Thanks to the ongoing debt crisis in Europe and fragile recovery in the United States, shipping companies covering the two destinations have been concerned over falling demand.

Yet China's strong imports in March boosted their confidence, and may help them avoid losses this year, industry analysts said.

China's imports jumped by 14 percent from a year earlier in March, leading to a $577 million trade deficit for the country. Analysts believe this deficit will signal a turning point for China's economic cycle, as the government intends to develop its economy through boosting domestic consumption.