China’s Exports Surge 12.4% in March as Firms Rush to Beat U.S. Tariff Hikes

China’s exports surged by 12.4% in March compared to a year earlier, as companies accelerated shipments to avoid impending U.S. tariff increases imposed by then-President Donald Trump, according to government data released Monday. Meanwhile, imports fell by 4.3%, highlighting an uneven recovery in domestic demand.

In the first quarter of the year, exports from the world’s second-largest economy grew by 5.8%, while imports declined by 7%, signaling persistent weakness in China’s domestic consumption. The trade surplus with the U.S. stood at $27.6 billion in March, with exports to America rising 4.5%. Over the first three months of 2024, China’s surplus with the U.S. reached $76.6 billion, reflecting ongoing trade imbalances despite heightened tariffs.

Under Trump’s trade policies, China faced tariffs as high as 145% on most exports to the U.S. However, the sharpest export growth was not to America but to Southeast Asia, where shipments jumped nearly 17% in March. Exports to Africa also rose by over 11%, indicating Beijing’s success in diversifying trade partners amid escalating tensions with Washington.

The March spike suggests Chinese exporters front-loaded shipments to mitigate tariff risks, but sustaining this momentum may prove challenging as global demand remains uncertain. The drop in imports, meanwhile, underscores lingering economic pressures at home.

janus