China's exports rise 10.7% in December as trade tensions loom

China's exports rose by 10.7% in December, surpassing expectations, while imports grew by 1.0%, the strongest since July 2024. This increase is partly due to factories sending goods abroad ahead of potential trade tensions under President-elect Donald Trump. China's trade surplus expanded to $104.8 billion in December, with a notable increase in the surplus with the US, reaching $33.5 billion. The yuan remains weak, and market reactions to the trade data have been muted. Despite signs of recovery in factory activity and services, challenges persist. China's leaders plan to implement looser monetary and fiscal policies in 2025 to support economic growth, targeting around 5%.