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China’s commerce ministry has introduced measures to support foreign trade amid fears of U.S. tariff hikes. The policies include boosting financing for exporters, stabilizing the yuan, and expanding agricultural exports. With U.S. President-elect Trump threatening steep tariffs on Chinese goods, manufacturers are concerned about potential trade disruptions. Trade has remained a key growth driver for China despite domestic economic challenges. The ministry also plans to promote imports of key equipment, guide firms to counter foreign trade restrictions, and facilitate smoother cross-border personnel exchanges. Approved by the cabinet earlier this month, these policies aim to safeguard China’s trade interests and sustain economic growth in uncertain global conditions.

Key Highlights

# China pledges stronger financing support to boost foreign trade.

# Measures include stabilizing the yuan and expanding exports of agricultural products.

# U.S. tariffs could disrupt Chinese manufacturing and reduce GDP growth.

# Plans to facilitate cross-border exchanges for key trading partners.

# Efforts to counter unreasonable trade restrictions from other nations.

Trade has been one of the rare bright spots for China’s economy, providing crucial support as domestic demand slows and the property market faces challenges. Despite global uncertainties, China’s exporters have managed steady growth, showcasing resilience even as threats of U.S. tariffs loom. However, a poll suggests these potential tariffs, reaching nearly 40%, could cut China’s GDP by up to 1 percentage point, raising concerns across the sector.

The Chinese government is taking proactive measures to mitigate risks and sustain trade momentum. The commerce ministry announced steps to improve financial support for firms and stabilize the yuan, enabling exporters to manage currency risks more effectively. Additionally, policies to expand agricultural exports and import key equipment highlight China’s intent to balance trade growth and dependency.

The measures were approved earlier this month by Premier Li Qiang, emphasizing their strategic importance. China aims to counter unreasonable trade restrictions by creating favorable export environments and facilitating business travel for key trading partners. The country’s resolve to support its trade sector comes amid a broader goal of maintaining economic stability against global pressures.

Finally

China's robust policy measures aim to sustain trade growth amidst external challenges. Proactive financial support and strategic trade expansion could buffer the economy from potential tariff impacts.

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