Catenaa, Tuesday, November 26, 2024-Chinese exports are expected to reach a record $3.548 trillion this year as foreign buyers rush to place orders ahead of potential tariff hikes by President-elect Donald Trump, analysts said Friday, November 22 .
Export growth is projected to hit 7% in the fourth quarter compared to the same period last year, up from a 5% rise in October, according to a Bloomberg survey.
Trump, who takes office in January, has vowed to impose tariffs as high as 60% on Chinese goods, raising fears of an expanded trade war.
Economists warn that such measures could severely damage trade between the world’s two largest economies.
Maybank Investment Banking Group said that in the coming months, panic-stockpiling may boost Chinese exports . However, it added that China’s policymakers will likely lean on pro-consumption stimulus measures next year to counteract the fallout.
China is on track for a record trade surplus of nearly $1 trillion in 2024, driven by strong export performance despite weak domestic demand.
In response to economic pressures, the People’s Bank of China may further reduce reserve requirements for banks this year to stimulate growth, analysts predict.
While exports thrive, imports remain stagnant, highlighting China’s domestic struggles and provoking global concerns about the flood of cheaper Chinese goods into international markets.
