China’s Export Growth Hits Seven-Month High, Beats Forecasts

China’s exports surged 36.3% year-on-year to a record $447.18 billion in September 2026, following a 25% increase in August and exceeding expectations of a 25.5% rise. It marked the strongest export growth since February, driven by robust demand for electronics and semiconductors amid a global AI investment boom, alongside a sharp increase in automobile shipments. Exports to the US climbed 39.6% as trade tensions between the two countries eased. Last month, Washington and Beijing announced plans to roll back tariffs on $30 billion worth of goods from each country and extend their broader trade truce by two months, through January. Exports to the EU rose 25.3%, the fastest increase in seven months, while shipments to ASEAN countries soared 52.3%. However, China’s surging exports are drawing growing resistance from its trade partners. On October 9, Beijing and Brussels struck a deal to curb Chinese hybrid vehicle exports to the EU, as the bloc seeks to protect domestic industries.

China’s exports surged 25% year-on-year to $401.44 billion in August 2026, following July's 23.9% increase, as the global AI infrastructure buildout continued to drive trade across Asia despite weather-related disruptions to shipping. High-tech products accounted for more than half of export growth, with overseas sales of integrated circuits jumping nearly 130% and high-tech exports rising almost 57%, while vehicle shipments slowed. Exports to the US surged 34.4%, while shipments to the EU rose just 6.6%, the slowest increase in 10 months. Exports to ASEAN countries climbed 30.2%, while shipments to South Korea and Taiwan rose more than 40%. The export boom is deepening tensions with partners concerned that China’s manufacturing dominance is putting pressure on domestic industries. President Xi Jinping is due to meet US President Donald Trump in Washington later this month, while tensions with Brussels are also rising ahead of an October deadline to address trade imbalances.

China’s exports surged 23.9% year-on-year to USD 397.85 billion in July 2026, surpassing forecasts of a 22.2% rise but easing from June’s 27.0% growth. The increase was driven by strong demand for AI-related technology products and a rush by manufacturers to ship goods to the US ahead of potential new tariffs. The US applied a new 12.5% levy on Chinese products in late July, replacing a temporary 10% levy that had lapsed. Exports of semiconductors almost doubled in value terms from last year, and overall high-tech product exports soared 40.7%. By contrast, exports of ceramics slumped 28.3%, highlighting the economy's uneven development, where advanced manufacturers are riding the AI boom while more traditional industries struggle with weak demand. Among its trading partners, outbound shipments advanced to the US (17.05%), Japan (14.0%), South Korea (46.6%), the EU (15.95%), and ASEAN (38.36%). For the first seven months of the year, total exports climbed 18.5% yoy to USD 2.52 trillion.