China's trade slump

China’s export growth slowed sharply in March as imports jumped, breaking the fast start Beijing posted earlier this year. (english.customs.gov.cn) China’s customs data showed exports rose 2.5% from a year earlier in March, down from 21.8% growth across January and February. Imports rose 27.8% in March, the fastest pace in more than four years, and China’s monthly trade surplus narrowed to $51.13 billion. (english.customs.gov.cn) (cnbc.com) Trade with the United States weakened further. China customs data showed March exports to the United States fell 16.3% in the first quarter, while Reuters reported shipments to the United States in March alone were down about 26.5%. (english.customs.gov.cn) (reuters.com) The March numbers landed in the first full month after fighting around Iran disrupted energy markets and shipping routes. Reuters reported that higher fuel and transport costs cut into overseas demand and raised input costs for Chinese manufacturers. (reuters.com) (apnews.com) That shift interrupted a strong opening to 2026. China’s official data showed goods trade rose 18.3% in the first two months of the year, helped by a 19.2% increase in exports, and Reuters said demand for artificial intelligence-related electronics had been one of the main supports. (english.scio.gov.cn) (reuters.com) Imports surged partly because commodity prices climbed as supply risks spread through oil and raw-material markets. CNBC said the jump reflected both stronger buying and higher prices, while customs data showed first-quarter imports still outpaced exports growth in United States dollar terms, 22.7% to 14.7%. (cnbc.com) (english.customs.gov.cn) Some trade flows stayed strong outside the United States. China customs data showed first-quarter exports to the Association of Southeast Asian Nations rose 20.5% and exports to Hong Kong rose 40.0%, even as exports to the United States fell 16.3%. (english.customs.gov.cn) Other regional data pointed to pockets of demand inside Asia’s electronics supply chain. Reuters reported South Korea’s exports to China rose 62.4% in March, led by a 151.4% surge in semiconductor shipments tied to higher memory prices and demand for artificial intelligence servers. (reuters.com) China still posted $977.5 billion in exports and a $264.3 billion trade surplus in the first quarter, according to customs data. March showed how quickly that cushion can shrink when energy costs rise and the earlier technology-led export burst cools. (english.customs.gov.cn)