China has achieved a historic milestone by crossing a $1 trillion trade surplus for the first time, marking a significant shift in global trade patterns as exports surged despite weakening economic ties with the United States.
According to official data, China’s cumulative trade surplus reached $1.08 trillion by November 2025, driven by strong demand from Latin America, Africa, Southeast Asia and Europe, even as exports to the U.S. plunged 28.6% amid ongoing geopolitical tensions. Overall exports grew 5.9% year-on-year, beating market expectations and recovering from October’s decline, supported by competitive pricing, supply chain rerouting and domestic deflation that made Chinese goods cheaper internationally.
However, China’s growing export dominance has triggered concern in Europe, with French President Emmanuel Macron warning that the European Union may impose tariffs if imbalances persist. Domestically, weak demand remains a concern—imports rose just 1.9%, pointing to sluggish consumer spending and pressure from the real estate slowdown.
Analysts say the temporary U.S.–China tariff truce may expire next year, creating uncertainty for global supply chains and potentially reshaping the future of international trade and manufacturing. As economic forecasts hint at softer global demand in 2026, China’s trade strategy and export-led growth model face increasing pressure from geopolitical risks, shifting markets and rising calls for trade protections.