By China’s export sector outperformed forecasts in March 2025, expanding by 12.5% compared to the same period last year, according to official customs data. The strong figures suggest robust international demand, particularly for electronics, machinery, and consumer goods. However, imports fell by 1.9%, marking a continued downturn and indicating persistent weakness in China’s domestic market.
Economists point to several factors behind the export surge, including competitive manufacturing costs, government trade incentives, and recovering supply chains. On the other hand, the import decline underscores challenges such as muted consumer confidence and a sluggish real estate sector.
The widening trade surplus, now at $58 billion, strengthens China’s trade position but also raises questions about long-term sustainability. With global economic uncertainties and potential trade wars looming, analysts urge caution.