China's Trade Pivot: 12.4% Export Growth Despite 145% US Tariffs

Sunita Somvanshi

Chinese exports jumped 12.4% in March despite facing unprecedented 145% US tariffs - the highest in a century!

Photo Source: Asian Development Bank (CC BY-NC-ND 2.0)

As US market access shrinks, Chinese manufacturers rapidly pivot to ASEAN countries, boosting exports there by 11.6%.

Photo Source: Pxhere

On April 4, Beijing struck back by imposing export controls on seven rare earth materials essential for everything from iPhones to military hardware.

Photo Source: Arild Vågen (CC BY-SA 4.0)

Apple's response? Shipping $2 billion worth of India-made iPhones to the US in March alone, with plans to source most US iPhones from India by 2026.

Photo Source: Llez (CC BY-SA 3.0)

Beyond physical goods, China's services exports grew 12.2% to reach ¥835.15 billion in Q1, with travel services surging 21.8%.

Photo Source: J. Patrick (CC BY-SA 3.0)

These trade shifts are affecting the global economy, with the IMF cutting growth projections to 2.8% for 2025.

Photo Source: Frank Rietsch (Pexels)

The World Trade Organization now predicts global merchandise trade will contract by 0.2% this year - potentially falling 1.5% if tensions escalate.

Photo Source: Xiquinhosilva (CC BY 2.0)

High-stakes diplomatic talks are underway in Geneva. Can negotiators find a path to de-escalation before more economic damage is done?

Photo Source: BBC World (CC BY-NC 2.0)

As supply chains reconfigure, both businesses and consumers face a new economic reality with higher costs and greater uncertainty.

Photo Source: B.C. Ministry of transport (CC BY-NC-ND 2.0)

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