China’s Trade Surplus Tops $1 Trillion After Export Surge

China’s trade surplus surpassed $1 trillion for the first time following a 5.9% export surge in November, reversing October’s unexpected decline. Imports rose by just under 2%, highlighting a strong global demand for Chinese goods. While exports to the U.S. dropped nearly 29% year-on-year, China expanded trade throughout Southeast Asia, Africa, and Latin America. Economists attribute the record $1.08 trillion surplus to strategic diversification and robust performance in advanced manufacturing sectors like electric vehicles and batteries. A trade truce reached in October between Presidents Trump and Xi included tariff reductions and eased rare earth export restrictions, though analysts warn that the détente may be temporary. China’s leadership continues to emphasize stability and domestic demand in its 2026 economic plans, as outlined during a Politburo meeting. Despite challenges, analysts project China will grow its global export share, reaching an estimated 16.5% by 2030.

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Source: AP News