Trade war tensions are already increasing with the US and impacting on Chinese economy severely. However, a recent report from China shows that the country’s export sector has managed to grow even after facing so many obstacles. Experts who were reciting that China’s export would suffer a considerable amount of losses because of the ongoing trade war would want to change their opinion. The report shows that Chinese exports rose up by 3.3%; however, its import went down by 5.6%. Trade war, which is hurting the Chinese economy, hasn’t done anything significant to its export sector.
The export industry has managed to grow at a better rate than anyone’s expectations. China’s import is falling every month since 2019, and that might be concerning thing for the Chinese government. However, because of strong economic policies and export sectors growth, the Chinese economy managed to grow at a moderate rate of 6.2 percent.
China has booked a surplus in trading with the USA, and Trump wants to end it. Trump demands that China should stop using US-based companies designs and intellectual property rights. Intellectual property rights are one of the main reasons why Trump does not agree to sign a trade deal with China. China’s surplus with the US has topped $27.87 billion in July and more than $168.5 billion over the year. It brings good news for China that even after going through a trade ban, they have managed to book that much surplus. Tech companies like Huawei are already facing problems in the US, and that’s impacting on the export sector. Both countries are trying to resolve this issue but are failing miserably, which is the reason why the Chinese government had to bail out small and medium scale domestic businesses.