Economy / Markets
China August exports rise 25% YoY and trade surplus widens to $119bn as Canada hits back with 50% US tariffs
China's August trade data validated the exporter-resilience thesis with exports up 25% year-over-year, imports up 28.2%, and the trade surplus widening to $119 billion, even as the domestic economy awaits stimulus. The same week Canada's retaliatory tariffs of up to 50% on roughly $20 billion of US goods took effect on Tuesday, with Washington threatening a ban on Bombardier jets in response. Investors are recalibrating around an environment in which strong earnings and AI optimism sit alongside higher energy prices, rising bond yields and renewed geopolitical risk.