Trending Now - China's Exports Exceed Projections, Setting Record Trade Surplus
WHO:
President Trump, U.S. President
Li Qiang, Chinese Premier
Zhiwei Zhang, President and Chief Economist at Pinpoint Asset Management
Bank of America, economists from the firm
WHAT:
China's exports rose 21.8% year-on-year in the combined January-February 2026 period, exceeding the 7.1% growth expected by economists.
China's imports rose 19.8% in the first two months of 2026, against expectations of a 6.3% growth.
Trade with the United States plunged 16.9% to 609.71 billion yuan ($88.22 billion) compared to the same period the previous year.
Exports of semiconductors by value soared nearly 73% in the first two months of 2026.
Exports of autos rose 67% and mechanical and electrical items rose 27% in the same period.
China's exports rose nearly 22% year-on-year in January and February 2026.
China's trade surplus in the combined January-February period was $213.62 billion, the highest on record.
Imports in January and February 2026 rose almost 20% year-on-year.
Trade with the United States fell nearly 27% from a year earlier.
Trade with the European Union increased by 19.9% to 998.94 billion yuan.
Trade with ASEAN rose 20.3% to reach 1.24 trillion yuan.
China's consumer inflation rose 1.3% in February 2026 from a year earlier.
The GDP growth target set by Premier Li Qiang for 2026 is 4.5% to 5%, the lowest since 1991.
WHERE:
China
Qingdao Port, Shandong Province, China
Hong Kong
WHEN:
January and February 2026
March 2026, when Trump is planned to visit Beijing
October 2025, when a trade truce was reached between Trump and Xi Jinping
February 2026, when consumer inflation data was reported
WHY:
The boom in the use of artificial intelligence is driving strong demand for computer chips.
The increase in exports is attributed to expanded trade with countries other than the United States.
The decline in trade with the U.S. is due to tariffs imposed by President Trump.
A recent U.S. Supreme Court ruling against Trump's tariffs has resulted in lower tariffs for some countries, potentially supporting Chinese exports.
HOW:
Trade data is typically combined for January and February each year to help even out seasonal impacts from the Lunar New Year festival.
Trade data for January and February is combined to smooth seasonal impacts from the Lunar New Year festival.
The effective tariff rate on many Chinese goods shipped to the U.S. remains close to 30% due to multiple existing duties.
(UPDATED March 10, 2026 15:13 UTC)
China's exports saw a remarkable increase of 21.8% year-on-year in the combined January-February 2026 period, far surpassing economists' expectations of 7.1% growth, while imports also rose by 19.8%, exceeding the anticipated 6.3%. Notably, exports of semiconductors surged nearly 73%, driven by the booming demand for computer chips due to the rise of artificial intelligence, alongside significant increases in auto exports by 67% and mechanical and electrical items by 27%. However, trade with the United States took a hit, plunging 16.9% to 609.71 billion yuan, or about $88.22 billion, compared to the same period last year, as trade data is typically combined for January and February to account for seasonal impacts from the Lunar New Year festival.
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(UPDATED March 10, 2026 07:14 UTC)
In a significant economic update, China's exports surged nearly 22% year-on-year in January and February 2026, contributing to a record trade surplus of $213.62 billion for the period. While trade with the United States fell nearly 27% due to tariffs imposed by President Trump, trade with the European Union and ASEAN saw notable increases of 19.9% and 20.3%, respectively. Premier Li Qiang has set a GDP growth target of 4.5% to 5% for 2026, the lowest since 1991, amid rising consumer inflation of 1.3% reported in February.