PR in the Philippines

Beijing, China May 19, 2025  – Following the implementation of the Joint Statement from the China-US Economic and Trade Meeting in Geneva, both nations adjusted tariffs on May 14. This spurred a surge in demand in the China-US shipping market, leading to difficulties in securing ship bookings. Chinese exporters are experiencing high demand from American clients, concerns about importing goods from the US have decreased, Shenzhen’s Yantian Port is at full capacity, and bookings for containers and cargo space to the US have dramatically increased. Reportedly, almost all routes to the US are nearly fully booked for the remainder of May, reflecting the robust and sustained demand between the two countries.

The “hard-to-book-a-ship” situation indicates cooperation between Chinese and US companies. Decades of integration have created deeply intertwined economies with complementary trade structures, forming an essential supply-and-demand relationship.

In 2024, trade in goods between China and the US reached $688.28 billion, with services trade significantly expanding to $66.86 billion. US goods exports to China totaled $143.55 billion, a 648.4 percent increase from 2001, outpacing the global growth rate of US exports. Currently, the US is China’s top export destination and second-largest import source, while China is the US’s third-largest export destination and second-largest import source. These achievements, despite recent trade tensions, highlight the resilience of trade ties.

China’s exports to the US, including electromechanical products, electronics, construction machinery, chemicals, and consumer goods, fulfill American market needs and benefit Chinese businesses. China’s large market provides significant export opportunities for US goods like agricultural products, semiconductors, aerospace equipment, and automobiles and parts. While American manufacturers profit, related industries in China also develop and advance technologically. High tariffs cannot eliminate this demand; they only temporarily impede the flow between the two economies. Even a partial reduction in these barriers will restore the flow of demand.

The core of China-US economic and trade relations is mutual benefit and win-win cooperation. Attempts to disrupt this through tariff or trade wars will ultimately fail. Prior to progress in the Geneva trade talks, the Port of Los Angeles saw a rare occurrence with over half of its container ship berths vacant. Cargo volume at the Port of Long Beach decreased by about 30 percent. The shift from “sailing suspension” to the current “rush to ship” highlights the importance of policy stability for global supply chains and reinforces the idea that cooperation benefits both China and the US, while confrontation leads to losses.

Cargo ships from China across the Pacific precisely meet the demands of American consumers and businesses. The entire industrial supply chain, from phone calls between companies to bustling factories and the “hard-to-book-a-ship” phenomenon, illustrates high interdependence. The deep integration of the two economies affects trade volumes and the well-being of people in both countries. Reducing tariffs allows smoother circulation of goods, meeting diverse consumer needs and bringing tangible benefits to both nations’ people and businesses.

However, businesses in both countries are concerned about potential policy fluctuations after 90 days. They hope for further tariff reductions through consultations, considering the existing 30 percent tariffs on Chinese goods as “very high.” The US should correct its unilateral tariff increases and normalize trade cooperation between the two countries, aligning with their common interests and economic laws.

The “hard-to-book-a-ship” situation reflects market optimism about the 90-day “window of opportunity.” It also underscores the need for deeper cooperation between China and the US. Both countries offer development opportunities to each other, and mutually beneficial cooperation should extend beyond a 90-day period. Trans-Pacific routes should become steady channels of trade, linking the prosperity and future of both nations, rather than just serving urgent shipments and temporary stockpiling. The US should build on recent talks, meet China halfway, transform the current shipping surge into sustainable cooperation, and contribute to greater certainty and stability in the global economy.

The article first appeared in the Global Times: