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    • Which country is the largest exporter of goods in the world?
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    Which country is the largest exporter of goods in the world?

    Umito Posted on

    China has been the world’s largest merchandise exporter since 2009. World Bank data indicates that the country’s total exports amounted to $3.51 trillion in 2023.

    In 2013, China became the world’s largest trading nation in terms of the value of its imports and exports. The United States previously held this position.

    The country that holds the title of the world’s largest exporter of goods has changed several times in the past, and it will likely continue to do so. In the 19th century, Britain was known as the “workshop of the world” and ruled a global empire based on trade.

    In the 21st century, China had become “the factory of the world“However, the Silk Road and the size of the Chinese economy suggest that it has often been the largest exporter of goods in previous centuries.

    Key takeaways

    • China has been the world’s largest merchandise exporter since 2009, and its total exports amounted to $3.51 trillion in 2023.
    • China exports and the economy grew dramatically after the country opened to trade under Deng Xiaoping.
    • The top goods exported by China by value in 2023 were phones (including smartphones).
    • The EU, the United States, Japan and South Korea are among China’s main trading partners.

    The growth of Chinese exports

    China’s growth into a global trading giant has been exceptionally rapid. For several centuries, the Chinese government pursued an isolationist policy. This isolation continued under Chairman Mao Zedong.

    After his death in 1976, the country developed a new orientation towards trade and foreign investment. China economic growth has generally been considerable since then.

    Deng Xiaoping launched China’s economic opening at the end of the 1970s. The role of public enterprises (Public companies) declined as China pursued economic growth in line with capitalism. Between 1983 and 2013, China experienced average annual economic growth of around 10%. During this period, the country followed a export-led growth strategy.

    Special economic zones (SEZ) in China played a major role in the country’s economic boom and export growth. In SEZs such as ShenzhenChina offered tax incentives to foreign investors. These incentives included the ability to import equipment and technology tax-free.

    The President of the People’s Republic of China, Xi Jinping, has tried to keep China’s annual growth high by increase in debtbut he encountered several challenges. First, the rise of protectionism in the United States and the persistence of a high level of trade surplus with the United States caused a trade war. And China suffered a severe economic downturn in early 2020.

    If we consider all the countries of the European Union, the EU region would be the largest exporter in the world, with $9.7 trillion in exports in 2023.

    China’s main exports

    China has a large number of dominant industries that create products and materials for export. In 2023, the top six product groups with the highest export value were:

    The six main export product groups in 2023
    Electrical machinery and equipment $899 billion
    Machines, including computers $512 billion
    Vehicles $192.7 billion
    Plastics $132.5 billion
    Furniture, bedding, lighting, signs, prefabricated buildings $121 billion
    Iron or steel items $97.9 billion

    The 10 most demanded exports in 2023 and their value were:

    Top 10 export products in 2023
    Telephone devices, including smartphones $219.63 billion
    Computers, optical drives $149.86 billion
    Integrated circuits/micro assemblies $136.58 billion
    Cars $77.66 billion
    Electric accumulators $69.86 billion
    Diodes/semiconductors for solar energy $61.4 billion
    Automotive Parts/Accessories $53.33 billion
    Processed petroleum oils $48.4 billion
    Electrical converters/power units $46.62 billion
    Lamps, lighting, illuminated signs $41.2 billion

    China’s trading partners

    Two of China’s main trading partners are its geographically close neighbors Japan and South Korea. China has also done a lot of business with the United States, although the latter has called China a currency manipulator in a context of significant trade tensions.

    Due to these trade difficulties with the United States, China lost its position as the top exporter of goods to the United States in 2023. U.S. imports of goods from China fell to $427 billion in 2023, down more than 20% from $536 billion in 2022. Mexico is the top exporter of goods to the United States in September 2024, followed by China and Canada.

    China also has important trade relations with the EU. The EU was China’s largest trading partner at the start of the 21st century, and China was the EU’s second largest trading partner, behind the United States.

    Accuracy of data from China

    Concerns have been raised about the accuracy of China’s export data collection. Some observers suspect China of overestimating its total exports to avoid controls on international transactions and thus attract more money into the country.

    Why have Chinese exports to the United States declined?

    The decline in U.S. imports from China is linked to the ongoing trade dispute between the two countries as well as U.S. government restrictions on China’s ability to obtain U.S. processor chips and other technology.

    How has weak trade affected the Chinese economy?

    As China’s trade has weakened, its prospects for economic growth have darkened. The slowdown in the country’s economic activity is expected to continue.

    Which country replaced China in 2023 as the United States’ main trading partner?

    Mexico replaced China as the United States’ top trading partner in early 2023. Total trade between Mexico and the United States was $807 billion in 2023.

    The essentials

    The People’s Republic of China is the world’s largest merchandise exporter, with a total export value for 2023 of $3.51 trillion. The nation won first place in 2009. Phones, including smartphones, were the top export product in 2023, with an export value of $219.63 billion.

    In 2023, China lost its place as the United States’ largest trading partner to Mexico.

    Umito
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