China’s export growth slowed in August to a six-month low, rising 4.4% year-on-year, missing forecasts. Imports grew 1.3%, below expectations. Beijing aims for 5% annual growth, seeking more diversified markets amid U.S. trade tensions. Trump’s threats of higher tariffs on Chinese goods add uncertainty to future exports.

Chinese exports to the U.S. fell 33.12% in August, while shipments to Southeast Asian nations rose 22.5%. Chinese producers look to other markets to offset U.S. tariffs, but no market compares to the U.S.’s consumption power. Policymakers hesitate to implement reforms to boost domestic consumption.

China’s August trade surplus was $102.3 billion. Beijing and Washington extended their tariff truce, but struggle to move beyond current terms. Chinese exporters face challenges as tariffs increase. Soybean imports reach record levels from South America, missing U.S. markets. Iron ore imports remain high as steel demand rises.

Read more at Yahoo Finance: China’s August export growth slowest in 6 months as US tariff risks mount