China's Exports Surge Ahead of Anticipated Tariffs

China's export growth surged in October, marking the fastest pace since July 2022, with a 12.7% increase year-on-year driven by factories rushing to ship goods ahead of anticipated tariffs from the U.S. and EU following Donald Trump's reelection and tariff threats. These exports have helped mitigate weak domestic demand, with significant rises in shipments to markets like the U.S., EU, and ASEAN countries. Despite the positive export data, China's imports fell by 2.3%, contributing to a significant trade surplus of $95.7 billion for October. Steel exports in particular hit their highest level since 2015, which could exacerbate trade tensions with countries like Vietnam, Saudi Arabia, and Chile, as they have launched trade measures against China. Economists predict that while Trump's tariff hikes could impact Chinese exports, their effects may not be felt until the latter half of 2025, possibly causing a short-term boost as U.S. importers stockpile goods.