China's exports slow slightly in July despite robust demand for
high-tech products
[August 08, 2026] By
ELAINE KURTENBACH
BANGKOK (AP) — China’s exports slowed slightly in July from the month
before but still were higher than forecast thanks to strong demand for
high-tech electronics and vehicles.
Customs data released Friday showed China’s trade surplus narrowed to
$112.5 billion from $125.6 billion in June.
Exports rose nearly 24% in July from a year earlier, compared with a 27%
increase in June. Imports climbed 27.5% year-on-year, but that was lower
than June's jump of 36%.
Disruptions to port operations due to typhoons helped to slow trade,
though the actual figures were slightly better than analysts had
forecast.
“The boom in Chinese trade slowed a touch in July but the big picture is
that export and import values remain elevated, helped by soaring global
demand for electronics and green tech products,” Julian Evans-Pritchard
of Capital Economics said in a report.
The Iran war interfered with shipments of aluminum from the Middle East,
leading to an increase in Chinese exports of the metal, he noted.
Trade data show China has fully transitioned from providing mostly low
cost manufacturing to supplying vital machinery and components for
advanced manufacturing.
China’s exports of high-tech items surged nearly 41% in January-July
from the same period the year before, while shipments of vehicles, many
of them electric, jumped 55%. Exports of electronics and machinery rose
26%.
Sustained demand for such goods, despite rising tariffs and other trade
barriers in the U.S. and some other countries, helped push its trade
surplus to a record high of nearly $1.2 trillion in 2025.
After U.S. President Donald Trump boosted tariffs on imports from China
and many other countries, China’s exports to the U.S. slowed
precipitously. They climbed just 2.6% year-on-year in the first seven
months of this year, while imports from the U.S. grew 1.4%.
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 But trade issues and restrictions on
China's access to advanced technology are likely to be high on the
agenda during a planned visit by Chinese President Xi Jinping to the
U.S. next month.
In key industries such as autos, its leaders have been adjusting
policies to counter price wars due to brutal competition and slack
demand, while the U.S. and some other major trading partners have
complained Chinese exporters are flooding global markets due to
massive excess manufacturing capacity inside China.
Still, the government issued a report last week condemning what it
said was the “myth of overcapacity.”
A commentary issued by the state-run Xinhua News Agency, pointed to
a surge in exports of air conditioners to Europe due to skyrocketing
demand during a ferocious heat wave.
“Europeans are buying these products, and for good reasons,” the
Xinhua commentary said. “These products solve problems local brands
often fail to address.”
The data released Friday showed exports to the European Union were
up nearly 17% in January-July, while exports to Southeast Asia,
which as a bloc is now China's biggest trading partner, surged 25%.
Among other key categories, the total volume of China's crude oil
imports fell 13.2% in the first seven months of this year, though
due to higher prices the value of those imports rose slightly.
Imports of natural gas slipped 3% by volume and 1.6% in dollar
terms.
China's exports of strategically vital rare earths fell 10% by
volume in January-July, but they jumped 58% in value.
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