China’s exports experienced a robust 12.4% year-on-year increase in March, surpassing analysts’ expectations and marking a significant rebound despite escalating trade tensions with the United States. This growth contributed to a 6.9% rise in exports for the first quarter, totaling 6.13 trillion yuan.
Analysts attribute this surge to a front-loading effect, where exporters accelerated shipments ahead of anticipated U.S. tariff hikes. The Trump administration’s recent imposition of a 145% tariff on Chinese goods has prompted exporters to expedite deliveries to mitigate potential losses.
While exports flourished, China’s imports declined by 6% during the same period, reflecting subdued domestic demand and the impact of trade restrictions. Consequently, China’s trade surplus expanded to 1.96 trillion yuan.
In response to the trade challenges, China is actively diversifying its export markets. Trade with the Association of Southeast Asian Nations (ASEAN) grew by 7.1%, and exports to the European Union increased by 1.3% in the first quarter. These efforts aim to reduce reliance on the U.S. market and bolster economic resilience.
Despite the strong export performance, Chinese officials caution that the outlook remains uncertain due to ongoing trade disputes. Experts warn that the current momentum may not be sustainable if trade barriers persist, potentially impacting global supply chains and economic stability.
