China's trade surplus with United States surges, calls for patience

  • China's trade surplus with United States surges, calls for patience

China's trade surplus with United States surges, calls for patience

The data follows weeks of tit-for-tat tariff threats by Washington and Beijing, sparked by USA frustration with China's massive bilateral trade surplus and intellectual property policies, which have fueled fears of a global trade war.

China's overall exports and imports both grew at a strong double-digit clip early in the year, and while exports unexpectedly fell in March - resulting in a rare trade deficit - most analysts chalked it up to seasonal factors and said it was too early to call a trend.

But with the threat of tariffs hanging over almost a third of China's exports to the United States, analysts say its companies and their USA customers may try to front load shipments before any measures kick in.

Exports increased by 14.8% while imports edged higher at 8.9%, prompting a plea from the customs administration spokesman, Huang Songping, for Washington to be "patient."

Concerns of a trade war have been rumbling since last month after Trump threatened a series of tariffs on hundreds of billions of dollars of Chinese goods, sparking tit-for-tat warnings from Beijing.

The two countries may end up levying no new tariffs on each other, Mr Trump said. He reiterated that China does not want a trade war, saying that "this trade friction is not conducive to China's interests, nor is it conducive to the interests of the US".

Trump cited a speech by Chinese President Xi Jinping that the USA president interprets as a signal China is about to open its markets to more US goods.

Xi, who now rules the world's second-largest economy without term limits, formally declared the new plans on Friday, Chinese state radio reported.

The actions come just after Chinese President Xi Jinping's promise last Tuesday to roll out measures to lower tariffs on imported cars and to ease foreign ownership restrictions on auto makers in China.

China runs multibillion-dollar monthly surpluses with Europe and the United States, which helps to offset deficits with Japan, South Korea and developing countries that supply industrial components and raw materials.

"We put a $50 billion tariff on, and then we put $100 billion tariff on".

Trump clearly regarded the remarks as conciliatory, and said again Thursday that it was a "good speech". "And, you know, at a certain point, they run out of bullets".