China continues to export approximately $1 billion worth of goods to the U.S. daily, defying levies of up to 55%. The surge shows how President Xi Jinping’s government maintains a strong negotiating position in ongoing trade talks as both nations vie for control of global supply chains.
Some Chinese goods, such as e-bikes and electronics, have recently witnessed an uptick in 2025, despite double-digit declines in the value of global commerce over the last six months. The rebound defies ongoing trade tensions between Washington and Beijing.
China’s trade resilience defies U.S. tariffs
Bloomberg economists Chang Shu and David Qu claimed that U.S. tariffs appear to have limited power to regulate the imports of American companies. The economists argued that, due to China’s dominance in industries such as electronics and rare earths, removing its products from global supply chains is difficult, at least in the short term. They added that China’s dominance might shift in the future, particularly if Trump raises tariffs further.
Chang Shu and David Qu noted that “China’s strong position in global supply chains gives it some bargaining power with U.S. importers in the near term.” The economists cautioned that other countries cannot easily replace China as a supplier to the U.S., claiming that realigning production will take time.
According to the economists, all that is giving Chinese President Xi Jinping more bargaining power as his trade negotiators head into talks aimed at extending a 90-day tariff truce that’s set to expire in November. More than $100 billion worth of Chinese commodities reached the United States in the third quarter. The economists claimed that these commodities help Beijing maintain economic growth in line with its yearly goal and increase the bilateral trade surplus to $67 billion.
China’s customs data reveal an increase in shipments of e-cigarettes last quarter, despite almost all the top 10 exports to the U.S. declining in the same period compared to the same period a year earlier. Strong demand for e-bikes is also evident in the United States. In the three months ending in September, Chinese companies exported over $500 million worth of e-bikes, representing a modest increase over the same period last year.
Over the last three months, the value of exported refined copper cathodes has also increased from nearly zero to $270 million, while the value of electrical cables has increased by 87% to $405 million.
“Both sides may reduce dependence on each other, but it cannot be reduced to zero.”
–Zhaopeng Xing, senior China strategist at Australia & New Zealand Banking Group.
Xing added that cracks in Trump’s tariff wall are probably making some of the trade possible by keeping costs down.
ANZ’s Xing explained that American importers can avoid paying a higher charge by declaring the customs value of products based on their first sale in a third nation. Xing suggested that the American importers can then boost the price when the commodities arrive at a U.S. port. He claimed that by transshipping through Vietnam or Mexico, some businesses are probably not paying the entire tax.
Xing added, “There are a lot of loopholes.” U.S. Customs “just don’t have enough manpower to address them.”
Chinese exports endure amid rising tariffs
Chinese corporations shipped approximately $8 billion worth of smartphones, laptops, tablets, and computer parts to the United States during the July-September quarter.
Customers in the United States have continued to purchase packages from online retailers such as Shein Group and PDD Holdings, including Temu. Chinese data revealed that since the Trump administration closed the loophole in May, almost $5.4 billion worth of these tiny parcels had been shipped to the United States despite being subject to a 54% charge.
The Japan Times reported that, given that Trump prioritizes onshoring vital industries and wants to restore American manufacturing, trade between the U.S. and China will decline in the future. Shipments from China have already fallen to less than $320 billion this year, which is comparable to the amount in 2017, before Trump’s first trade war.
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