Rising Trade Ties: China-North Korea Trade Hits New Highs

China's trade with North Korea increased by 22% year-on-year in the first two months of 2026, signaling improved ties and the resumption of transportation links. This follows a period of strained relations due to North Korea's growing connections with Russia. Key exports include human hair, footwear, and soybean oil.

In a significant economic development, China's trade with North Korea surged by 22% year-on-year during the first two months of 2026, according to customs data released on Friday. This comes ahead of the resumption of bilateral transportation links between the two nations, slated for March, which marks a thaw in previously strained relations.

The General Administration of Customs in China reported that trade values hit $418.7 million in January and February. This growth mirrors the pre-Covid trade levels, bolstered by increased exports of human hair, soybean oil, and footwear to North Korea, despite a decline in wig-making material exports.

Amidst queries surrounding North Korea's alliances, its deepening ties with Russia raised speculations about its future relations with China. However, the recent diplomatic meeting between Xi Jinping and Kim Jong Un, followed by the reinstatement of train and airline services, indicates a stabilizing partnership between Beijing and Pyongyang.

(With inputs from agencies.)