By Benadeta Mwaura - Reporter
Kenya, January 14, 2026 - China posted its largest ever trade surplus in 2025, approximately $1.19–$1.2 trillion, even as trade tensions with the United States intensified following the reimposition of tariffs by President Donald Trump. The milestone reflects Beijing’s ability to maintain a strong export performance by diversifying markets and shifting shipments away from the U.S. economy.
Customs data released Wednesday showed China’s full year trade surplus climbed to around $1.189 trillion, surpassing the $1 trillion mark for the first time in history. The figure is comparable to the annual GDP of some major economies such as Saudi Arabia and far exceeded the roughly $992 billion surplus recorded in 2024.
Exports , the main driver of the surplus, grew strongly in 2025 despite ongoing tariff pressures, with December shipments up about 6.6% year on year and rising above market expectations. Imports also grew, edging up around 5.7% in December, supporting demand for foreign made inputs and consumer goods.
China’s surplus came even as exports to the United States fell sharply, dropping roughly 20% for the year under the impact of Trumpers tariff measures. Beijing’s General Administration of Customs data show Chinese producers responded by redirecting goods to other markets, notably Southeast Asia, Africa, the European Union and Latin America, allowing overall trade volumes to remain robust.
The shift in trade patterns highlights how China has adapted to protectionist policies by diversifying markets and strengthening global supply chains beyond its traditional reliance on the U.S. customer base. While exports performed strongly, the surplus also underscores persistent weaknesses in China’s domestic economy, particularly sluggish consumer demand and an enduring property sector slump, which have made foreign demand a crucial engine for growth.
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Economists warn that long term reliance on exports amplifies structural imbalances and exposes China to geopolitical trade risks. The weak domestic market has kept import growth slower than export expansion for much of the past decade, reinforcing China’s position as a net exporter but raising concerns about underinvestment in domestic consumption.
China’s record surplus has attracted attention as countries around the world grapple with trade imbalances and inflationary pressures. Some governments, including in Europe, have voiced concern that a persistent surplus and flood of low cost Chinese goods could harm local industries and exacerbate competitive pressures in key sectors.
Analysts say the 2025 results show Beijing’s trade strategy remains resilient, but that future growth will depend on how well China can stimulate internal demand and respond to geopolitical tensions that continue to shape global commerce.
