China’s Trade Surplus Reaches a Record of Nearly $1 Trillion
14th January 2025
China’s vast exports in 2024 exceeded its imports on a scale seldom seen anywhere except during or immediately after the two world wars.
‘Trade surplus’ is a concept much beloved by those who don’t understand economics. Trade always balances. If China sends us stuff, they get something in return; nobody just sends us stuff for free. In the case of ‘trade surplus’, the balance is in terms of capital flow–they send us stuff, and we send them dollars, i.e. the little pieces of paper that the Deep State is so merrily printing in Washington. We wind up with iPhones and EVs, and they wind up with a big pile of paper that is worth only as much as Washington can convince people that it’s worth.