China recorded a 4.8 per cent increase in exports for May compared to the previous year, according to official customs data released on Monday. While this growth fell slightly short of analyst expectations, it comes at a time when overall global demand remains volatile.
The figure also marks a slowdown from the 8.1 per cent surge in April, indicating a cooling of export momentum, reported AP. Imports, on the other hand, declined by 3.4 per cent on a year-on-year basis, resulting in a trade surplus of $103.2 billion.
Notably, exports to the United States dropped sharply, falling nearly 10 per cent, as trade friction between the two countries showed no signs of abating. China exported $28.8 billion worth of goods to the US in May, while imports from the US declined by 7.4 per cent to $10.8 billion.
This decline followed a temporary boost in April, when businesses rushed shipments in anticipation of tariff changes, after the US delayed implementing new duties in a bid to reopen negotiations with Beijing.
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Fresh Talks Begin Amid Trade Hostility
Trade representatives from China and the United States are set to meet again in London on Monday, aiming to revive dialogue and mitigate tensions. The meeting follows a recent phone conversation between President Donald Trump and Chinese President Xi Jinping, during which the two sides reaffirmed a 90-day pause on most existing tariffs.
Despite initial optimism from their earlier Geneva meeting in May, progress has stalled. Both nations have since accused each other of reneging on preliminary commitments, and political rhetoric has intensified on multiple fronts, including restrictions on visas for Chinese students and disputes over high-tech components and resources.
A key issue dominating the current talks is access to rare-earth minerals, which are vital for electronics, electric vehicles, and defence systems. Beijing’s recent move to approve certain export applications, without disclosing the recipients or industries, came after Trump claimed that Chinese President Xi Jinping had agreed to resume shipments.
With rare-earths now at the heart of the ongoing conflict, the outcome of this round of talks could determine the trajectory of US-China trade relations in the months ahead.
