Trade Tensions and Surging Surplus: A Global Economic Paradox

China's premier warns that higher tariffs have negatively impacted the global economy, despite China's trade surplus exceeding USD 1 trillion. While exports to the US have decreased, they've risen in other markets. Efforts to promote free trade and technological investments are underway amidst easing tensions with the US.

China's Premier Li Qiang stated that elevated tariffs have severely harmed the global economy, even as China's trade surplus surpassed USD 1 trillion. He delivered these remarks at a Beijing forum amidst an annual economic planning meeting.

Li Qiang highlighted the global economic constraints created by tariffs but did not directly mention former US President Donald Trump, known for imposing high tariffs on Chinese imports. These tariffs resulted in a significant drop in exports to the US, with a 29% decrease reported in November.

China's economy is slowly recovering, focusing on technological investments and self-reliance in manufacturing. Recent meetings between Trump and President Xi Jinping have eased bilateral tensions, fostering hope for future collaboration and economic stability.

(With inputs from agencies.)