Despite the aggressive protectionist measures of its largest economic rival, the United States, China recently crossed a trade-surplus milestone, surpassing $1 trillion for the first time. China’s future growth prospects appear strong if it continues on its path of diversification and productivity gains while strengthening trade alliances.

For China, the record $1.2 trillion annual trade surplus its authorities reported Wednesday is resounding proof of the resilience of its economy in the face of US trade friction.

The 2025 record showed that the world’s second-largest economy remained resilient despite facing steep Trump administration tariffs that slashed its exports to the U.S.

China’s surplus reached $1.19 trillion last year, a 20 percent increase from 2024, as Beijing kept the currency weak and pursued self-reliance to replace imports.

China’s trade surplus surged to a record of almost $1.2 trillion in 2025, the government said Wednesday, as exports picked up in December.

What happened in 2025 reveals a massive pivot in global trade flows. The tariffs did bite where they were intended: China’s direct exports to the US plummeted by 20% last year, and imports into China from the US fell by 14.6%. But while the front door to the American market was closing, China found other routes.

China has announced a more than trillion-dollar trade surplus that poses a greater danger to world commerce than Trump’s tariffs.

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