China’s Trade Surplus Hits Record $1.19 Trillion on Strong Export Growth

Prime Highlight

China achieved a record trade surplus of $1.19 trillion in 2025, driven by stronger-than-expected export growth.
Exports to regions like the European Union and Southeast Asia rose significantly, demonstrating resilience in global markets.

Key Facts

December exports grew 6% year-on-year, surpassing forecasts, while imports increased 5.7%, their fastest rise in three months.
Full-year exports rose 5%, imports remained largely flat, and trade with the US continued to decline, highlighting a shift toward diversified global trade partners.

Background

China’s annual trade surplus climbed to a record $1.19 trillion after exports rose more strongly than expected in December, official customs data showed on Wednesday. The surplus was up about 20% from the previous year, supported by steady export growth and weak import demand for most of 2025.

Exports increased 6.6% in December from a year earlier, beating market expectations of 3% growth and improving from November’s 5.9% rise. Imports also surprised on the upside, rising 5.7%, their fastest pace in three months and well above forecasts of less than 1%.

For the full year, China’s exports grew 5.5%, while imports remained largely flat. This combination pushed the country’s trade surplus to its highest level on record.

Trade with the United States continued to weaken. Shipments to the US fell 30% in December from a year earlier, marking the ninth straight month of decline. Imports from the US fell 29%. In 2025, exports to the US dropped 20%, and imports fell 14.6%, showing the impact of ongoing tariffs.

At the same time, Chinese exporters increased shipments to other regions. Exports to the European Union rose 12% in December, while shipments to Southeast Asian nations increased 11%. Imports from the EU grew 18%, although imports from Southeast Asia fell 5%.

Chinese officials said they hope to maintain stable and mutually beneficial trade relations with the US through dialogue and cooperation. In December, Beijing also reiterated plans to expand imports and work toward more balanced trade.

The World Bank now expects China’s economy to grow by 4.4% in 2026, citing expected fiscal support, steady exports and improving investment sentiment.