The article notes that distortions in trade are not universal but arise from specific incentives and regulatory design, underscoring the need to understand these mechanisms for policy calibration amid geopolitics.

Analysts like Song say Beijing is prioritizing expanding domestic demand as the growth engine, though the shift will take time.

Tariff policy is portrayed as ineffective in achieving its goals, suggesting a disconnect between policy aims and observed trade outcomes as reported by major outlets.

A persistent structural challenge remains: the economy is still heavily dependent on external demand, leaving it vulnerable to global slowdowns and political pushback.

To diversify risk from tariffs, China is shifting its focus toward Southeast Asia, Africa, and Latin America, expanding its export markets.

Domestic conditions, including a weak real estate market and softer consumer demand, are shaping policy and economic strategy.

Global markets reacted cautiously, with mixed Asian stock moves and milder commodity price pressure; the yuan is seen as having limited downside risk amid supportive policy.

The European Commission signaled openness to EV imports from all countries if competition stays fair, with price undertakings under a level playing field.

U.S. perspectives on tariffs remain polarized, with critics arguing they punish consumers and businesses while supporters say they curb unfair practices and protect domestic industries.

Analysts expect continued resilience in 2026 as Chinese goods and services become more embedded in global supply chains, though tariff tensions with the United States may persist.

The report is framed as a CNN Business segment with attribution to reporter Mike Valerio, signaling an analytical narrative rather than raw data alone.

Beijing posted a record trade surplus of about $1.2 trillion in 2025, as exports rose 5.5% to around $3.8 trillion while imports stayed largely flat near $2.6 trillion, signaling export-led growth amid weak domestic demand.