China’s exports in October declined for the first time in nearly two years, as businesses’ front-loading momentum tapered off and trade tensions with the U.S. escalated during the month before both countries reached a deal.
Outbound shipments dropped 1.1% in October in U.S. dollar terms compared to a year earlier—marking their first contraction since March 2024. This result disappointed economists, who had expected 3% growth according to a Reuters survey, and contrasted with a six-month high of 8.3% growth recorded in September.
Imports rose 1% last month, missing estimates for 3.2% growth. The softer import performance is attributed to a prolonged housing market downturn and weak job market conditions, both of which continue to weigh on consumer demand. In comparison, imports had jumped 7.4% in September.
There was some relief for Chinese exporters and American buyers last week after U.S. President Donald Trump and Chinese President Xi Jinping reached an agreement during their meeting in South Korea. This deal helped de-escalate a situation that had threatened to push bilateral relations into a full-blown trade war.
As part of the agreement, both countries decided to roll back several punitive measures, including steep tariffs and export controls on critical minerals and advanced technology. Beijing also committed to buying more U.S. soybeans and to work with Washington to crack down on fentanyl flows.
Following the trade truce, the effective U.S. tariff rate on Chinese exports dropped to 31%, according to estimates by Macquarie Group.
https://www.cnbc.com/2025/11/07/chinas-exports-october-trade-data.html
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