China has announced a record trade surplus of nearly $1.2 trillion for 2025, demonstrating remarkable export resilience despite ongoing tariffs imposed by the United States under President Donald Trump. This surge highlights China’s ability to diversify its markets and maintain economic growth amid global trade tensions.
The data, released by China’s General Administration of Customs on Wednesday, shows that total foreign trade in goods reached 45.47 trillion yuan ($6.51 trillion), a 3.8% increase from the previous year. Exports grew by 6.1% to 26.99 trillion yuan ($3.8 trillion), while imports saw a modest 0.5% rise to 18.48 trillion yuan ($2.6 trillion). This resulted in a trade surplus that surpassed the $1 trillion mark for the first time in November and ended the year at an unprecedented level.
A key driver of this surplus has been China’s strategic shift towards emerging markets. Export growth to regions such as Latin America, the Middle East, and Africa outpaced the overall rate, reducing reliance on traditional partners like the United States. Wang Jun, a vice minister at the customs administration, emphasized that trade partners are now more diversified, enhancing China’s ability to withstand external risks.
Despite these gains, trade with the U.S. has significantly declined. Exports to the United States fell by 28% in 2025, according to shipping data, as Trump’s tariffs made Chinese goods less competitive. The U.S. tariff rate on Chinese products remains at 47.5%, following a trade truce extended in October, but it continues to hinder bilateral trade flows.
Chinese officials have pointed to strong fundamentals in foreign trade, attributing the surplus to improved competitiveness and a weak yuan, which boosted exports. However, domestic challenges persist, including sluggish consumer demand and a prolonged property crisis, making export performance critical for economic stability.
Economists note that Chinese exporters have adeptly navigated the tariffs by restructuring supply chains. Tianchen Xu of the Economist Intelligence Unit explained that lower-end manufacturing has shifted to third countries in Southeast Asia, which face lower U.S. tariffs, allowing Chinese goods to remain a global necessity. This restructuring has raised concerns among other trading partners about market flooding with low-cost Chinese products.
The political backdrop remains tense, with Trump recently threatening additional tariffs on countries doing business with Iran, potentially affecting China. Chinese authorities have reiterated their stance against tariff wars, vowing to protect their interests. Meanwhile, Trump has expressed optimism about further market openings, citing his relationship with Chinese President Xi Jinping.
Looking ahead, China’s record trade surplus underscores its economic resilience but also points to ongoing vulnerabilities. While diversification has mitigated some risks, the global trade environment remains uncertain, and domestic economic reforms are needed to sustain long-term growth. The data is likely to fuel debates on trade policy and international economic relations in the coming months.
