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China’s trade surplus with US hits record high of US$34 billion as trade war rages on

Exports grow faster than expected in September as new US tariffs on US$200 billion of Chinese goods yet to bite, analysts say

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Despite Washington’s hopes, China’s surplus with the US rose 10 per cent in September to more than US$34 billion. Photo: Reuters

China’s monthly trade surplus with the United States rose to a record high of US$34.1 billion in September on the back of an escalating trade war that shows little sign of cooling.

The figure, released on Friday by the customs administration, represented a 10 per cent increase from the US$31.05 billion surplus booked for August, suggesting Washington’s tariffs on imports of Chinese products have yet to have the desired effect of narrowing the trade gap between the two countries.

While Washington sees its trade deficit with China as evidence of the latter’s unfair trade practices, Beijing argues it is the inevitable result of their different positions in global value chains and denies pursuing a trade surplus.

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An editorial published on Thursday by People’s Daily, the mouthpiece of China’s Communist Party, said that if the US wanted to narrow the trade gap it could sell four aircraft carriers to China.

Speaking on Fox News on Thursday, President Donald Trump said that previous US administrations had allowed China to pursue unfair trade practices for too long and that it was time he put a stop to it.

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