China's foreign trade shows resilience amidst global headwinds

Editor's note: Xin Ge, a special commentator on current affairs for CGTN, is a research fellow at the Institute of Public Policy and Governance, Shanghai University of Finance and Economics (SUFE), and a chair associate professor at the School of Public Economics and Administration, SUFE. The article reflects the author's opinions and not necessarily the views of CGTN.

Recently released first-quarter data from the China Council for the Promotion of International Trade (CCPIT) shows a significant 14.91 percent year-on-year increase in the number of commercial certificates issued across the national trade promotion system. This notable growth stands out against the current complex backdrop of a faltering global economic recovery, escalating geopolitical risks, and persistent undercurrents of unilateralism and protectionism.

It is more than an upward trend in statistics, but a powerful testament to the proactive adaptability and pioneering spirit demonstrated by Chinese foreign trade enterprises in the face of a challenging external environment.

The data also reflects the tangible progress made by the trade promotion system in enhancing service efficiency and supporting companies in their global outreach efforts. Furthermore, it indirectly highlights the inherent strength, resilience, and deep potential of China's foreign trade sector, injecting valuable stability and positive expectations into the drive towards high-quality economic development.

Commercial certificates are foundational documents in international trade activities, encompassing various types such as Certificates of Origin, ATA Carnets, and Force Majeure Certificates. Their core function is to provide authoritative credit endorsement and procedural convenience for cross-border commercial transactions. In international dealings fraught with uncertainty, certificates issued by an authoritative body like the CCPIT effectively bridge information asymmetry, reduce trust costs, and provide reliable proof regarding the origin of goods, quality specifications, and even special circumstances encountered by enterprises. They serve as a cornerstone for ensuring transaction security and reducing friction.

The increase in first-quarter issuance of certificates directly reflects the undiminished, indeed increased, dynamism of Chinese foreign trade entities participating in international economic and trade activities. It indicates that companies have been actively utilizing international rules and trade tools to consolidate and expand their overseas markets. This heightened activity is a manifestation of market confidence and a vivid display of the intrinsic vitality of China's foreign trade.

Facing fluctuating demand in traditional major economies and a growing number of trade restrictive measures, implementing a market diversification strategy and exploring new trade partners has become an inevitable choice for China's foreign trade development, as well as a key pathway for enterprises to mitigate risks and seek growth. The increase in the issuance of commercial certificates strongly aligns with the deepened implementation of this strategy.

The surge in certificate issuance is also a concrete embodiment of the robust resilience of China's foreign trade. The ability to maintain stable operation and seek breakthroughs under pressure is critically important for safeguarding China's high-quality economic development, acting as both a "ballast stone" and a "propeller."

Firstly, stable foreign trade operations are a vital guarantee for maintaining China's pivotal position in global industrial and supply chains. Stable exports support the production and operation activities of related domestic manufacturing industries, absorbing significant employment. Meanwhile, smooth imports of key technologies, core equipment, and important raw materials provide the indispensable material and technical basis for optimizing and upgrading the domestic industrial structure.

Secondly, deep engagement in international market competition is a powerful external driver for domestic enterprises to pursue technological innovation, quality improvement, brand building, and management optimization. By adapting to international standards and meeting the diverse, even stringent, requirements of overseas customers, foreign trade companies continuously enhance their core competitiveness. This competitive pressure and market feedback are effectively transmitted domestically, propelling the entire industrial system towards the higher end of the value chain.

Furthermore, a resilient foreign trade sector effectively buffers the transmission of external economic shocks to the domestic macroeconomy, provides a stable source of foreign exchange income, and enhances the resource base and policy space for macro-control. In the current environment of intertwined global economic and financial risks, the stable growth of foreign trade plays an irreplaceable role in keeping China's economic operations within a reasonable range and effectively preventing and mitigating major risks.

The notable increase in the issuance of commercial certificates by the national CCPIT system is by no means an isolated phenomenon or a single metric. It is a concentrated reflection of the strong adaptability, unyielding pioneering spirit, and confidence in future development shown by Chinese foreign trade entities amidst global economic headwinds and trade barrier challenges. It also represents the concrete results achieved by institutions, including the trade promotion system, through continuous service optimization, empowering enterprises, and smoothing international economic and trade circulation. Most significantly, it serves as powerful evidence of the solid foundations, strong resilience, and broad development prospects of China's foreign trade.

(If you want to contribute and have specific expertise, please contact us at opinions@cgtn.com. Follow @thouse_opinions on X, formerly Twitter, to discover the latest commentaries in the CGTN Opinion Section.)