China’s exports to the United States tumbled in April while its trade with other economies surged, suggesting that President Donald Trump’s tariffs offensive is hastening a shakeup in global supply chains.
Total exports from China rose 8.1 percent last month from a year earlier, much faster than the 2 percent pace most economists had been expecting. That was much slower than the 12.4 percent year-on-year increase in March. Imports fell 0.2 percent in April from the year before.
Shipments to the United States sank 21 percent in dollar terms as tariffs on most Chinese exports rose to as high as 145 percent. With Chinese tariffs on U.S. goods at 125 percent, business between the two biggest economies has grown increasingly uncertain.
China’s imports from the United States dropped more than 13 percent from a year earlier, while its politically sensitive trade surplus with the United States was nearly $20.5 billion in April, down from about $27.2 billion a year earlier.
In the first four months of the year, China’s exports to the United States fell 2.5 percent from a year earlier, while imports from the United States fell 4.7 percent.
The rapid increase in Chinese exports to other countries reflects a restructuring that began years ago but has gained momentum as Trump has raised barriers to exporting to the United States.
Global manufacturers have been looking for alternatives to a near total reliance on manufacturing in China after disruptions from the COVID-19 pandemic highlighted the need for more diverse options.
The need for more versatile supply chains grew more apparent as Trump hiked tariffs on Chinese exports during his first term in office. Most of those remained during former President Joe Biden’s term.
Exports to the United States accounted for about a tenth of China’s total exports in April and the United States still is the largest single-country market for China. Yet the European Union and Southeast Asia are larger regional export markets.
Trade with a broader grouping, the 15-nation Regional Comprehensive Economic Partnership, which does not include the United States, is still bigger. Exports to countries participating in China’s “Belt and Road Initiative,” a vast network of infrastructure projects supported by Beijing, are bigger still.
In the first four months of the year, exports to the 10-nation Association of Southeast Asian Nations rose 11.5 percent from a year earlier, and those to Latin America also climbed 11.5 percent. Shipments to India jumped nearly 16 percent by value, and exports to Africa surged 15 percent.
Some of the fastest growth was in Asia, reflecting moves by Chinese and other manufacturers to diversify their supply chains outside of the Chinese mainland.