China’s year-on-year growth in exports rose for the first time since March last month, the General Administration of Customs said on Monday.
Exports rose 5.8% in June to $325 billion, beating a 4.8% rise in May — a decline on 8.1% seen in April.
June imports rose 1.1% year-on-year, up from a drop of 3.4% in May.
The amount of goods sent to the US also dropped for a third consecutive month, falling 16.1% in June, although this was softer than the 34.5% drop seen in May.
China increased its shipments to other markets as it seeks to diversify trade during a period of global uncertainty.
During the first half of the year, there was a uptick in trade with countries in Africa, Latin America, and the EU. Increased trade with the Association of Southeast Asian Nations (ASEAN), made up of 10 countries, also supported export growth over the first half of the year.
From January to June, exports to the US fell 9.9% year-on-year in Chinese Yuan terms, while imports declined 7.7%.
The data comes after China and the US managed to secure a trade agreement at the end of June, following a decision by the two countries to slash their duties on each other’s goods in May.
Goods from China have been hit with additional 30% US tariffs this year, while China has placed a 10% duty on US imports.
Beijing is hoping that trade growth can support its economy as it is hampered by weak domestic demand, linked to a prolonged property crisis. The country will publish second-quarter GDP figures on Tuesday, and the total is expected to sit close to the government’s 5% target.
In the coming months, the impact of the US’ wider trade policy on China will become more apparent, with President Trump set to impose so-called “reciprocal” tariffs on 1 August. An agreement between the US and Vietnam could notably affect China as it seeks to curb transhipments. Exports from Vietnam will face a 20% duty, although a steeper 40% rate will be applied to goods believed to have originated from China.
The US also announced a 50% tariff on copper last week, on top of existing duties on products like cars, aluminium, and steel. More sectoral levies are in the pipeline.
