China’s trade surplus reached $119 billion in August, broadly matching the $119.05 billion median forecast from economists polled by Reuters and marking the third consecutive month above $100 billion. July’s surplus was $112.5 billion, supported by exports of $397.85 billion, up 23.9% from a year earlier, while imports rose 27.5% to $285.35 billion. The cumulative surplus stood at $687.4 billion through July and exceeded $806 billion after August, with four months remaining in the year. Semiconductors, electric vehicles, solar panels and EV batteries have become increasingly important export drivers. Tariff uncertainty has also encouraged front-loaded shipments, which can lift near-term exports while creating weaker comparisons later. China’s surplus with the US narrowed slightly to about $28 billion in July from $28.86 billion in June. The figures are being closely watched as the European Union targets Chinese electric vehicles with tariffs, the US maintains duties across technology, steel and consumer goods, domestic consumption remains weak relative to pre-pandemic trends, and the property sector continues to weigh on household wealth and confidence. Manufacturing activity remained in contraction in August despite strong export orders, underscoring the economy’s dependence on international demand.