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China’s exports to Africa surge 25% in 2025 as US tariffs shift global trade flows

August 27, 2025
in Investing
China’s exports to Africa surge 25% in 2025 as US tariffs shift global trade flows
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China is witnessing a major shift in its global trade map, with Africa emerging as a key growth region in 2025. Exports to the continent surged 25% on-year to $122 billion, driven by rising demand for construction machinery, passenger vehicles, and steel products.

The growth rate in Africa far outpaced other major markets, at a time when orders from the US declined due to steep tariffs imposed by the Trump administration.

This surge means China’s sales to Africa this year have already surpassed the total value for 2020 and are on track to exceed $200 billion for the first time.

Africa drives China’s export growth with $122 billion in 2025

The continent of 1.5 billion people is now one of Beijing’s fastest-expanding trade partners. Nigeria, South Africa, and Egypt remain the top importers of Chinese goods, together accounting for nearly half of purchases.

Chinese shipments of construction machinery to Africa rose 63% year on year in the first seven months of 2025, while passenger car exports more than doubled.

Steel exports also grew strongly, with several categories posting high double-digit increases.

At the same time, China’s trade balance with Africa remains lopsided, with Beijing running a significantly wider surplus compared to last year. Still, Chinese companies are benefiting from a weaker yuan, which has made exports more competitive.

Infrastructure and energy projects boost demand for Chinese goods

Africa signed $30.5 billion worth of construction contracts with China in the first half of 2025, five times the amount agreed during the same period last year.

These contracts are the largest among all regions included in President Xi Jinping’s Belt and Road Initiative, first launched in 2013.

Infrastructure demand is also fuelling imports of materials and machinery. Solar panel purchases from China surged 60% in the 12 months to June, according to Ember.

Over the past two years, African orders for solar technology outside South Africa have tripled. In addition, exports of batteries rose 41%, while transformers and converters — critical for renewable energy systems — grew nearly 25%.

China opens its domestic market to Africa

Beijing is also taking steps to rebalance its trade relationship by opening its own market to African exporters. In June, China removed tariffs on imports from all African nations with which it has diplomatic ties.

That same month, it authorised imports of agricultural products from Ethiopia, Congo, Gambia, and Malawi, bringing the total number of African countries with such access to 19.

This complements Beijing’s push to expand the use of the yuan in Africa. Nigeria, South Africa, Egypt, and Mauritius already have bilateral currency swap agreements with China’s central bank, while Kenya has announced talks to convert some of its dollar-denominated loans into yuan.

US tariffs and global trade tensions redirect flows

The expansion of China’s trade with Africa is taking place against the backdrop of escalating protectionism in Washington.

The Trump administration has imposed new tariffs on goods from over 30 African nations that previously enjoyed duty-free access under the African Growth and Opportunity Act. Some goods destined for the US are now suspected to be reaching Africa through transshipment routes.

China, meanwhile, has stepped up financing projects across the continent. The China Development Bank recently released a $286 million tranche for a railway project in Nigeria and extended a loan for construction in Egypt.

Beijing’s exports remain price-competitive, with 14 of 18 major goods categories shipped to Africa seeing price declines between January and July, including a 39% fall for transformers and converters.

The post China’s exports to Africa surge 25% in 2025 as US tariffs shift global trade flows appeared first on Invezz

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