Green products crucial in driving increase in China's foreign trade

China's innovative and technology-intensive green products, ranging from electric vehicles to dual-fuel ships, will be crucial in driving the country's foreign trade growth in 2025, exporters and market watchers said.

They stated that these high value-added mechanical and electrical products are expected to contribute to the expansion of China's export sector, further positioning the country as a linchpin in global supply chains this year.

Despite growing external challenges and uncertainties, China's foreign trade rose 5 percent year-on-year to reach a record high of 43.85 trillion yuan ($5.98 trillion) in 2024, while the country's exports amounted to 25.45 trillion yuan last year, an increase of 7.1 percent year-on-year, data from the General Administration of Customs show.

In the meantime, China's exports of mechanical and electrical products grew by 8.7 percent year-on-year, accounting for 59.4 percent of the country's total exports. Last year, exports of electric vehicles, 3D printers and industrial robots jumped 13.1 percent, 32.8 percent and 45.2 percent year-on-year, respectively.

This trend is fueled by rising global market demand and bolstered by supportive policies, with China's substantial supply capacity and robust industrial chain providing a solid foundation, said Chen Xuedong, an academician at the Chinese Academy of Engineering and deputy general manager of State-owned China National Machinery Industry Corp.

Similar views were expressed by Sang Baichuan, dean of the University of International Business and Economics' Institute of International Economy.

Propelled by the ongoing green transformation, industrialization and industrial upgrades across numerous countries, China's exports of mechanical and electrical products, especially technology-intensive green products, will enhance the nation's foreign trade growth this year, said Sang.

Narwal, a Shenzhen, Guangdong province-based household robot manufacturer, has been heading in that direction. The number of its export markets expanded from fewer than 10 in 2023 to over 30 in 2024, covering multiple countries and regions including North America, Europe, Japan, South Korea and Australia, with fast-growing overseas sales.

"We will continue to invest in multiple fields such as 3D perception, artificial intelligence solutions, binocular vision technologies and big data application in the coming years. Our technological accumulations have helped us reach more overseas markets," said Zhang Junbin, the company's founder.

In 2024, Shenzhen's foreign trade reached 4.5 trillion yuan, surpassing 4 trillion yuan for the first time, with a year-on-year increase of 16.4 percent, statistics from Shenzhen Customs show.

Last year, Shenzhen's imports and exports of electronic products and their components, including household appliances, audio and video equipment and their parts, computers and their components, as well as flat panel display modules, soared 16.1 percent year-on-year, accounting for 51.9 percent of the city's total growth in foreign trade.

Facing rising protectionism, volatile global energy markets and geopolitical tensions, China has turned the challenges of deglobalization into a catalyst for industrial upgrading, leveraging its resilience and innovation in recent years, said Liang Ming, director of the Institute of International Trade, which is part of the Chinese Academy of International Trade and Economic Cooperation.

"In addition to supporting a large number of domestic companies to accelerate their going global moves, China has also cultivated a diversified market and forged broader partnerships with emerging markets," said Liang.

China FAW Group, a Changchun, Jilin province-based State-owned automaker, shipped 125,000 vehicles to global markets in 2024, jumping 36.2 percent on a yearly basis and injecting strong momentum into the Chinese automakers' global expansion, data from Changchun Customs show.

Last year, Hongqi, a sub-brand of China FAW Group, made its debut in the European market with two new energy vehicles, said Zhang Hengkun, head of Customs affairs department of China FAW Group's exports and imports business unit.

Meanwhile, FAW Jiefang, the group's truck subsidiary, saw continued growth in its exports, successfully expanding to over 80 countries and regions including Southeast Asia, the Middle East, Latin America, Africa and Eastern Europe, said Zhang.

To date, China FAW Group's overseas operations have expanded to 97 countries and regions across Europe, the Middle East, Africa, Southeast Asia and Latin America. The automaker has established over 170 overseas sales and service branches and set up 24 overseas assembly production bases in locations such as South Africa, Tanzania and Mexico.