"Not a week earlier, Beijing had revealed that China's trade surplus ballooned by 20% in 2025, to $1.2tn. Despite Donald Trump's wall of tariffs that crashed Chinese sales to the US, its overall exports expanded more than 5%. Sales to the 11 countries in Asia's Asean bloc increased more than 13%. Exports to the European Union rose over 8%. Chinese imports, by contrast, were flat."
"This gargantuan imbalance is strangling manufacturers from rich countries in Europe to poorer nations in Asia and Latin America. As Eswar Prassad, a former head of the China division at the International Monetary Fund, now at Cornell University, pointed out: Forget Trump's Tariffs. The Real Danger Lies in China's Trade Surplus. The wave of Chinese exports should remind us that the United States' turn against the global order it did so much to build did not happen in a vacuum."
China's 2025 trade surplus rose 20% to $1.2tn while overall exports grew more than 5% despite US tariffs. Exports to the ASEAN bloc climbed over 13% and to the European Union over 8%, while imports remained flat. The resulting trade imbalance is strangling manufacturers across Europe, Asia and Latin America. The export-led surge has placed enormous stress on international economic institutions and contributed to political backlash in countries harmed by lost industrial jobs. Beijing's mercantilist policies that concentrate global demand domestically undermine other countries' prospects. Reconsidering those policies is necessary to preserve a stable global trading order.
Read at www.theguardian.com
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