China's Global Trade Surplus Soars, but U.S. Growth Lags

Since the onset of U.S.-China trade tensions in 2018, China's overall trade surplus surged by 176%, climbing from $359 billion to $992 billion by 2024. However, the growth in China's trade surplus with the U.S. was comparatively modest, rising by only 12% from $324 billion to $361 billion. In contrast, the surplus with the European Union grew significantly, increasing by 138% from $104 billion to $247 billion.

By 2024, the U.S. and EU collectively accounted for 61% of China's trade surplus, contributing 36% and 25%, respectively. However, between 2018 and 2024, the U.S. contributed just 6% to the growth of China's overall trade surplus, while the EU contributed 23% and the rest of the world accounted for a substantial 71%. This trend indicates that a portion of China's increasing trade surplus with other nations may result from trade rerouted through intermediary countries to bypass trade restrictions between the U.S. and China, exacerbating the U.S. trade deficit.