China’s exports declined 1.1% in October, marking their first contraction since March 2024 and missing economists’ 3% growth forecast. Imports grew 1%, reflecting persistent domestic challenges. Bilateral trade with the U.S. continued weakening, with October exports dropping 25% YoY. However, trade diversification showed promising results, with exports to ASEAN, EU and Africa surging 14.3%, 7.5% and 26.1%, respectively, during the first 10 months. The overall trade surplus reached $964.8 billion through October, up 23% from 2024. Economists expect Beijing to shift focus toward stimulating domestic demand.