China’s economy grows more than expected. But fears of Trump tariffs loom
China’s economy grew more than expected in the last three months of 2024, official data showed on Friday, as it awaits the likely imposition of fresh tariffs by US President-elect Donald Trump, who takes office next week.
China can outfox Trump’s tariffs
Let’s begin with the immediate, direct economic impact of tariffs. China has diversified away from the US market since Trump’s first term. Total American demand for Chinese goods now accounts for about 2.8 per cent of China’s GDP, according to Capital Economics.
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