Post by : Shakul

Hong Kong, April 14, 2026 — China’s export growth slowed sharply in March, rising just 2.5% year-on-year, as global uncertainties linked to the Iran war began impacting demand and supply chains. The latest data released by Chinese customs showed a significant drop compared to the strong 21.8% growth recorded in January and February.

The slowdown also fell below analysts’ expectations, reflecting growing concerns about weakening global trade momentum. At the same time, imports surged by 27.8% in March, indicating strong domestic demand and increased purchasing activity.

Experts suggest that rising energy prices and supply disruptions caused by the conflict are creating pressure on global markets. According to economist Gary Ng from Natixis, the ongoing war is beginning to affect both global demand and supply chains, contributing to the deceleration in exports.

Despite the slowdown, China’s technology sector continues to support export performance. Strong global demand for semiconductors, driven by the artificial intelligence boom, and growing interest in renewable energy products such as solar panels, wind turbines, and electric vehicles are helping maintain stability.

Economists from Bank of America warned that a prolonged conflict could lead to a broader slowdown in global demand. However, they also noted that disruptions in energy supply may boost demand for China’s green energy technologies in the coming months.

Trade tensions with the United States have added further pressure. Exports to the U.S. dropped sharply by 26.5% in March, while shipments to Europe and Southeast Asia increased by 8.6% and 6.9%, respectively, showing a shift in China’s trade focus toward other regions.

China has set its 2026 economic growth target between 4.5% and 5%, the lowest in decades. While exports remain a key driver of growth, challenges such as the ongoing property sector slowdown and global uncertainties continue to pose risks. Analysts note that China’s diversified energy sources and large oil reserves have helped cushion the impact of the war so far.

#world news #Economy #Asia #trade