Chinese trade flows exhibited momentum in April despite President Donald Trump’s tariff war against its trading partners.
Trump’s tariff relief on electronic products and pause of reciprocal tariffs against most countries posed a tailwind, signaling Asia suffered less trade disruption.
Chinese e-commerce juggernaut Alibaba Group Holding (NYSE:BABA), the country’s tech barometer, trades higher on Tuesday.
Also Read: Temu And Shein To Raise Prices Amid US Tariffs, Slash Ad Spend On Apple, Meta
Electric vehicle companies, including NIO Inc (NYSE:NIO), Li Auto Inc (NASDAQ:LI), and XPeng Inc (NYSE:XPEV), are also trading upwards Tuesday.
Temu parent PDD Holdings Inc (NASDAQ:PDD) and Baidu, Inc (NASDAQ:BIDU) also rose on Tuesday after Treasury Secretary Scott Bessent reportedly said he expects de-escalation with China.
Chinese ports processed 6.3 million containers in the seven days through April 20, up by 10% from the same week last year, Bloomberg reported, citing official data.
Additionally, Washington’s exemption on electronics from reciprocal tariffs provided some relief for Chinese exporters since the exclusion covers over $100 billion in goods from the country, Bloomberg cited Gerard DiPippo data.
Washington and Beijing have imposed levies over 100% on most of their bilateral commercial flows.
The Port of Los Angeles expects 13 ships from Chinese ports to anchor this week, and over 120,000 containers from all origins will be overloaded this week, just below the level in the prior seven days.
Air freight also benefited, as U.S. shoppers stockpiled Temu and Shein products before the U.S. government ended an exemption.
However, it’s not all good for China, as Bloomberg cited Caixin Global as stating that the volume of cargo carried on the China-Europe train links declined by 10% in the first quarter.
Reportedly, China’s Xi Jinping could propose a plum deal to Europe as it proposed to tap the strained US-EU relations.
Read Next:
Photo via Shutterstock