China's record trade surplus hits $1T as Trump era looms
The Chinese economy closed in 2024 with a record trade surplus approaching one trillion dollars. In December alone, China's exports amounted to about $336 billion, achieving a trade surplus of $100 billion and surpassing previous high points from the pandemic.
According to the Associated Press, Chinese exports reached $336 billion in December 2024, a 10.7% increase from the previous year. This growth was partly driven by actions taken by Chinese factories to intensify orders ahead of Donald Trump's inauguration as U.S. President (scheduled for January 20). The Republican President plans to impose additional tariffs on goods from China.
China sets trade record, aims to act before Trump
According to Zhiwei Zhang, chief economist at Pinpoint Asset Management, exporters likely expedited shipments in anticipation of a possible trade war in 2025, aiming to avoid the impact of future tariff increases. He highlighted that the key factors to watch are the policies coming out of Washington soon and the political responses from Beijing, as reported by Bloomberg.
December's 10.7% growth in Chinese exports exceeded economists' expectations, which had forecasted a 7.3% increase. Imports were also surprised by rising 1% to $231 billion, even though a decline had been expected.
Shanghai as a symbol of record trade turnover
As a result, China recorded a record trade surplus for 2024, reaching nearly one trillion dollars ($992 billion). The value of shipped orders continued to rise until the end of the year, surpassing the previous record from 2022 during the pandemic period.
Last year, the Shanghai port emerged as a symbol of the strength of Chinese exports. According to Bloomberg, in 2024, it was the largest transshipment port in the world, handling the equivalent of more than 50 million shipping containers.
December also marked a record month for Chinese exports to the USA, reaching nearly $49 billion, a 15.6% increase year over year. The total for the entire year was $525 billion.
