China's Export Growth Slows Amidst Rising Global Uncertainties

China's export growth decelerated to 2.5% in March amid the Iran war's impact on energy prices and global demand. Despite an early boost from tech-related exports, prolonged conflict could further weaken global demand, challenging China's economic growth goals amidst ongoing tensions with the US.

China's export growth slowed to 2.5% in March, a sharp decline from previous months, as global uncertainties rose due to the ongoing Iran war. The tensions have impacted energy prices, affecting global demand.

The March export figures missed analysts' expectations and marked a significant drop from the robust 21.8% growth reported in January and February. Imports surged by 27.8%, reflecting a more positive aspect of China's trade activities, while tech exports, particularly semiconductors, remained strong due to a global AI boom.

However, economists warn that the prolonged Iran conflict might dampen global demand for Chinese exports. Additional challenges include the US-China tariff tensions, although China has increased its exports to other regions like Europe and Latin America. With a fragile domestic economy, maintaining strong export growth remains crucial for China's economic goals.

(With inputs from agencies.)