China Current Account Surplus Q2 2025 Hits Record $135.1 Billion
China’s current account surplus Q2 2025 surged to a record USD 135.1 billion, a sharp increase from USD 55.5 billion in the same quarter last year. This strong performance was driven by a significant rise in the goods trade surplus and mixed developments in services and income accounts, signaling continued resilience in China’s external sector amid global economic uncertainties.
Key Drivers of China’s Current Account Surplus Q2 2025
The standout factor in China’s current account surplus Q2 2025 was the goods trade surplus, which rose sharply to USD 219.1 billion, up from USD 163.4 billion in Q2 2024. This increase came as exports grew by 5.7% to USD 871.8 billion, while imports fell by 1.3% to USD 652.8 billion, reflecting ongoing global demand and supply chain adjustments.
Services and Income Accounts Show Mixed Trends
The services deficit narrowed to USD 46.5 billion, improving from USD 61.7 billion a year earlier, indicating better balance in cross-border services trade. Meanwhile, the primary income deficit slightly decreased to USD 41.4 billion from USD 48.9 billion, while the secondary income surplus rose to USD 4.0 billion from USD 2.7 billion in Q2 2024.
Read More: China’s Trade Surplus Slips Below Forecasts in July Despite Strong Export Growth
What This Means for China’s Economy and Global Trade
- ✅ The record current account surplus underscores China’s strong export performance despite global economic headwinds.
- 📉 The decline in imports suggests cautious domestic demand or supply-side constraints.
- 📊 Narrowing deficits in services and primary income hint at improving efficiency and investment returns.
- 🌍 China’s external balance impacts global trade flows, currency dynamics, and geopolitical economic strategies.
| Account Component | Q2 2025 (USD Billion) | Q2 2024 (USD Billion) | Year-on-Year Change |
|---|---|---|---|
| Current Account Surplus | 135.1 | 55.5 | +79.6 |
| Goods Trade Surplus | 219.1 | 163.4 | +55.7 |
| Exports | 871.8 | 825.1 | +5.7% |
| Imports | 652.8 | 661.6 | -1.3% |
| Services Deficit | -46.5 | -61.7 | Improved |
| Primary Income Deficit | -41.4 | -48.9 | Improved |
| Secondary Income Surplus | 4.0 | 2.7 | Improved |
China’s current account surplus Q2 2025 highlights the nation’s strategic position in global trade, balancing export strength with evolving import dynamics. While the strong goods surplus indicates continued global demand for Chinese products, the mixed picture in services and income accounts will require close monitoring as China navigates its economic goals amid international challenges.
What are your thoughts on China’s trade dynamics this quarter? Share your views in the comments below and explore more updates on global economic trends.
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