Global Times: Recording a 5% growth in China's 2024 foreign trade 'quite normal' or 'not easy'

BEIJING, Jan. 20, 2025 /PRNewswire/ -- In 2024, China's total goods imports and exports in yuan terms grew by 5 percent year-on-year to reach 43.85 trillion yuan ($5.99 trillion). This is the latest scorecard for the country's foreign trade.

So, what does this 5-percent growth tell?

Some view the growth rate as "a normal thing," given that China is already the world's largest goods trader and the country also recorded a GDP growth rate of 5 percent in 2024. 

However, others see the result as "not easy", considering that the external environment was turbulent, with numerous unstable and uncertain factors. Internally, China is grappling with the pressures of transitioning from the old to new growth drivers, facing significant challenges and difficulties.

Both viewpoints are reasonable. But some foreign media outlets have offered a more balanced and objective assessment. For an economy that has faced numerous challenges, including geopolitical tensions in recent years, the foreign trade numbers are not only impressive but also demonstrate the country's enduring economic adaptability.

In other words, the 5-percent growth in foreign trade not only sheds light on the resilience of the Chinese economy but also offers a clear indication of the long-term positive trajectory of its economic development.

Economic resilience 

China's foreign trade surpassed the 42-trillion-yuan and 43-trillion-yuan thresholds last year, hitting an all-time high. The new milestone saw the country's foreign trade volume jump by 2.1 trillion yuan in just 12 months.

The sheer size of the total value and the incremental volume would be unimaginable without a strong, complete industrial and supply chain system - and this is where China's economic resilience derives from.

China's home appliances industry offers a vivid example of the country's strong supply chain, having undergone a phase of industrial upgrade and now claiming a foothold in the mid-to-high end of the global value chain. The industry has evolved from original equipment manufacturer (OEM) production to independent design and, most recently, to overseas expansion, with an export growth of 15.4 percent recorded last year.

Whether it's the intelligent home appliance, portable "power bank," or massive offshore maritime engineering equipment, China has the capacity to provide whatever the international market demands. Thanks to a complete and continuously upgrading industrial system, China's manufacturing value-added accounts for about 30 percent of the global total to date, with more than 40 percent of major industrial products ranking among the world's highest in terms of output.

China is the only country in the world that homes all industrial categories listed in the United Nations industrial classification. Its exports cover a wide range of products with high quality, from home appliances, textiles, and furniture, to ships, automobiles, and industrial robots. Notably, the drivers of export growth are undergoing a steady transition, shifting towards new gear and constantly gaining new momentum. 

China's economic resilience also originates from its unwavering innovation and perseverance.

Last year, Chinese automaker Chery Group exported 1.145 million vehicles, a 21.4 percent increase year-on-year. Behind this impressive figure, as well as the group's rise from a "small hut" of less than 10 square meters in 1997 to a globally competitive auto brand, lies a path of independent innovation. The company has built a relatively complete vehicle intelligence ecosystem and established multiple overseas research and development (R&D) centers and production bases.

Moreover, the ability to ramp up innovation is clearly reflected in the Chinese trade industry's rapid adjustment of methods and strategies in response to the ever-changing geopolitical environment in the world. This trend is especially prominent among Chinese private enterprises, which are known for their market sensitivity and adaptability. The private companies are leading the charge in driving innovations amid external uncertainties.

It is also important to note that China's economic resilience is built on the win-win philosophy of "harmony and symbiosis" as well as "shared responsibility and mutual assistance."

"Only when countries develop together can there be true development, and only when countries prosper together can there be true prosperity." China not only says this but also does it.

On December 1, China took the initiative to give all the least developed countries (LDCs) with which it has diplomatic relations zero-tariff treatment for 100-percent tariff lines. This led to an 18.1-percent increase in imports from these countries in December, accelerating by 5.8 percentage points compared to the January-November period.

The China-Maldives Free Trade Agreement officially took effect on January 1. The next day, a Chinese furniture maker applied for a certificate of origin from customs in Shaoxing, East China's Zhejiang Province, which gave the company a tariff reduction of nearly 10,000 yuan on its spring mattress exports to the Maldives.

Inclusive, green trade 

Last year, China had import and export records with almost all countries and regions in the United Nations' statistical grouping, and the country also achieved import and export expansion with over 160 trade partners.

The data speaks volumes for China's inclusive foreign trade. By consistently advocating for inclusive and shared economic globalization, and steadily expanding voluntary and unilateral openness, China has been making friends with sincerity and pragmatic cooperation. Now, the country's "circle of friends" spans across the globe, with the international market continuously evolving.

China's huge market also brings shared benefits to the world.

In 2024, China imported 18.39 trillion yuan and is expected to maintain its position as the world's second-largest importer. The potential of China's massive market lies not only in its large population but also in the rapid growth of domestic consumption. The Chinese market is set to continue to release immense potential through a healthy interaction with the international market place. 

The underlying theme of China's foreign trade is shaped by sustainability and green initiatives. Chinese green product exports have not only enriched global supply but also made a significant contribution to the global fight against climate change and the transition toward green, low-carbon economies.

In 2024, China's electric vehicle exports exceeded 2 million for the first time. If these vehicles were lined up end to end, they could stretch from Beijing to Rome, just as the old saying goes "all roads lead to Rome." Meanwhile, last year, China's wind turbine exports jumped by 71.9 percent, and the value of photovoltaic product exports topped over 200 billion yuan for four consecutive years.

Entering 2025, the uncertainty of the external environment is poised to bring more challenges to the effort to stabilize foreign trade. However, the more turbulent the times are, the more China should maintain its strategic focus. 

It is important to note that the fundamentals of China's long-term economic development have not changed and will not change. "As always, we grow in the wind and rain, and we get stronger through hard times. We must be confident."

The article was originally published on the frontpage of the People's Daily on January 20, 2025

SOURCE Global Times