What China has done is truly beyond imagination. China’s total trade in the world has become a surplus of 1 trillion dollars, that is, if imports are subtracted from the exports made by China, then this 1 trillion dollars is in surplus profit. Despite this, the business of big countries of the world remains less in surplus. So we can say that China has now become the trade king of the world.
There are only selected countries in the world which have trade surplus. But China has gone far ahead of all these countries. The second number is China, whose trade surplus turnover is 297.5 billion dollars, which means in this matter it is five times behind China. India definitely needs to learn a lot from China in this matter. Indian exports in 2024 will be $443 billion, the level which China had achieved in 2003. We will know how China has taken such a big leap even after Trump’s tariff hike.
China’s trade surplus by November 2025 has crossed $1 trillion ($1.08 trillion) for the first time, due to growth in exports to other markets despite a decline in US exports. Till last year, China’s surplus was 992 billion dollars, the record of which has been broken by China.
The Trump administration still maintained the average tariff on Chinese imports. Despite this, how did China achieve record trade surplus in the first 11 months of 2025? China’s trade dragon is increasing and it is now difficult for anyone to stop it. Why did American tariffs have no effect on China?
Question – Why was China not affected despite the tariff? How did it achieve a surplus turnover of Rs 1 trillion?
The biggest reason for this is that China is sending only 14 percent of its total exports to America despite the tariff. The current tariffs may be high, but they only affect goods bound for the US. These do not have any direct impact on the remaining 86% of China’s exports, so China has started focusing more strongly on this 86% of exports. In fact, China adopted a strategy to reduce America-dependence since 2018. By 2025 it has been completely successful.
Question – What have been the top 5 export destinations of China this year?
– China’s top 5 export destinations this year are as follows-
1. ASEAN -17.2%
2. European Union – 16.1%
3. America – 14%
4. Japan + South Korea – 11%
5. Rest of the World (Africa, Latin America, Middle East – about 30%
That means the impact of tariff is being felt only on 14% of it. The rest of the markets not only compensated for this but also gave an increase.
Question – How have China’s exports increased this year in various countries or regions?
– Its trade with ASEAN will increase by 12.8 percent in 2025. Demand for Chinese goods reached record levels in Vietnam, Indonesia, Malaysia and Thailand. Here the RCEP agreement has reduced the tariff to almost zero.
Its exports to Africa increased by 18.4% this year. There is huge demand for infrastructure and consumer goods due to Belt and Road projects. In Latin America, exports to Brazil, Mexico, Chile increased by 14-16%. In the Middle East, demand for construction and electronics has increased in Saudi Arabia and UAE. Despite the current tension in India, there is 11.2% growth in 2025. These markets were small earlier, but now together they have become bigger than America. The tariffs forced China to take these markets seriously, and the results are in. Apart from this, China is also dodging the tariffs and delivering Chinese goods to America through the third country route. Just changing its label.
Question – To avoid this, is China setting up factories in other countries also?
– Yes, China is doing this work. Chinese companies are setting up factories in Vietnam, Mexico, Thailand, Indonesia. Now its final assembly has started taking place in the factories of those countries. Therefore, from the factories of those countries, it is going to America and the world with the label of that country. In 2025, America’s imports from Mexico will increase by 22% and from Vietnam by 15%, while most of these products have Chinese components and investment. America took strict action regarding this but it is difficult to prove it. China still owns the value chain.
That means, of course, America is no longer its main market, but new markets have compensated for it manifold. Bypassed the tariff by shifting the supply chain. It has dominance in high-value products. The domestic support system is very strong.
Question – How is China promoting exports or changing its policies regarding it?
– The Chinese government has given full support to exporters. Export tax rebate increased. Kept interest rates low. Gave cheap loans to exporters. Kept the Renminbi deliberately weak (around 7.3-7.4 in 2025). Due to this, Chinese goods remain cheaper abroad. That means China has changed or is changing its game. Many of its products are being made in such a way that it is not only a leader but is also proving to be better in terms of quality and innovation.
Question – Should it be said that America has played a major role in where China stands today?
– It is exactly like that. At present, China is exporting 94 such items which are being manufactured there. China supplies more than 60% of the world’s laptops, more than 50% of smartphones, about 82% of flat-panel displays, about 64% of smartphone and telecom parts, about 60% of solar equipment and 56% of lithium-ion batteries. It is also the largest supplier of parts and components used in most electronics, computer and machinery products.
Its rise began in the 1980s, when American companies transferred production abroad to reduce costs. China then benefited most by offering cheap labour, liberal regulations and strong government support for foreign factories. As Western brands arrived, China not only manufactured their goods but also increased its own production and technological knowledge. Started own independent manufacturing. The true thing is that by learning the technology from the American companies that came to China, China developed its new technology or enhanced it. The Chinese government also helped a lot in this.
Question – What is the condition of China’s ports?
– China has greatly improved its trade structure in the last few years. Seven of the ten busiest ports in the world are Chinese. Customs clearance is primarily digital, logistics systems are streamlined. Shipping is cheap and fast. Bureaucrats remove barriers, not create them.
