US-China Trade Cools at Slowest Rate in Over a Year: Will the Trend Continue?

Key Takeaways

• US-China trade in goods decreased 2.9 percent in Q1 2024 amid a marginal increase in US-worldwide trade.
• And while bilateral trade decreased at its lowest rate since falling into negative territory in late 2022, this does not necessarily mean that trade is stabilizing.
• Increasing trade tensions and efforts from both governments to diversify supply chains will continue to weigh on bilateral trade in Q2 and beyond.