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As analyzed by Cui Dongshu, China’s merchandise trade exports demonstrated robust growth in the first half of 2026, posting a 17% year-on-year increase. Notably, export volumes in June alone hit an all-time high. China maintained a substantial trade surplus with both Europe and the United States, while export prices saw marked improvement. Among key sectors, exports of lithium batteries, solar cells, and automobiles experienced rapid expansion—particularly auto exports, which surged by 54% year-on-year, underscoring their strong momentum. However, the export of auto parts faces significant headwinds, highlighting the urgency for closer alignment with the strategies of independent Chinese automakers and a strategic pivot away from overreliance on European and U.S. aftermarket systems.
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