Part 9/14:
However, the reality is more nuanced. While exports to Asian, African, and European countries have increased—sometimes significantly—exports to the United States have fallen nearly 17%, which is critical given that 40% of China's total exports are US-bound and account for 70% of sector profits.
Much of China's export growth is now driven by reexporting goods through third-party countries, such as in Africa and parts of Europe, to circumvent tariffs, especially since the US raised tariffs to 55-57% last year and has started cracking down on “transshipment” loopholes. As export reroutes become harder and regulations tighten, analysts expect China's export growth to turn negative soon, signaling deeper economic troubles.