China's Export Boom: Navigating Tariff Turbulence

China's exports have surged in October, driven by anticipation of U.S. and EU tariffs. The threat from Trump and ongoing trade tensions have caused Chinese factories to increase shipments. Although exports rose by 12.7%, imports declined, highlighting domestic demand weaknesses. Economists urge Beijing to invigorate local consumption and explore new markets.

China's export figures saw a significant boost in October as factories hastened to deliver inventory to major markets. This rush follows looming threats of increased tariffs from both the U.S. and the European Union, as fears of a comprehensive trade war escalate.

Despite the export surge, imports fell by 2.3%, marking the first decline in four months. The drop highlights weaknesses in domestic demand as China grapples with a prolonged property market crisis. Economist Xu Tianchen notes that the upcoming years could see intensified pressure due to potential reintroduced tariffs by Trump.

China's outbound trade to the U.S. rose 8.1%, while European trade saw a 12.7% increase. Economists, however, caution that Beijing should not rely solely on exports for growth. They recommend bolstering domestic consumption and seeking new trade partners along the Belt and Road initiative.

(With inputs from agencies.)