China’s exports recorded a sharp increase in the first two months of 2026 despite ongoing trade tensions with the United States and tariffs introduced under former U.S. President Donald Trump.
Official data released by Chinese authorities showed that exports rose by more than 20 percent in January and February—almost three times higher than economists had projected—placing the country on course to surpass the record annual trade surplus it posted in 2025.
The figures were released ahead of an expected meeting between Trump and Chinese President Xi Jinping, who are scheduled to hold talks in China in early April.
The strong export performance underscores the continued importance of foreign trade to China’s economy as it grapples with several domestic challenges.
Despite being the world’s second-largest economy, China remains heavily reliant on exports while facing weak consumer spending, a shrinking population and a prolonged downturn in the property sector.
Chinese authorities typically combine trade data for January and February to minimise distortions caused by the Lunar New Year holiday, which falls on varying dates each year and can disrupt regular trade patterns.
According to the data, the surge in exports was largely driven by strong global demand for electronics, while shipments of agricultural products and manufactured goods also posted notable gains.
Trade with European markets expanded significantly, with exports to the region rising by 27.8 percent.
Exports to member states of the Association of Southeast Asian Nations (ASEAN)—which includes major economies such as Thailand, Singapore and Philippines—also increased sharply, climbing by nearly 30 percent.
However, exports to the United States fell by more than 10 percent after Washington imposed tariffs and other measures aimed at addressing trade imbalances between the two countries.
The tariffs formed part of broader economic policies pursued by the Trump administration to reduce the U.S. trade deficit and curb reliance on Chinese imports.
Despite the decline in exports to the United States, China’s overall trade performance remained strong due to growing demand from other international markets.
Last week, China set a new economic growth target of between 4.5 percent and 5 percent for 2026—slightly lower than the 5 percent target set for 2025, which the country achieved largely on the back of robust export growth.
Exports continue to play a central role in supporting China’s economy at a time when domestic consumption remains subdued and the property market struggles to recover.
The anticipated meeting between Trump and Xi comes as China and several other Asian economies deal with the broader economic effects of the ongoing conflict involving the United States, Israel and Iran, which has unsettled global energy markets and heightened uncertainty across international trade.
Economic analysts say the outcome of the upcoming talks between the two leaders could shape global trade relations and influence financial markets in the months ahead.
