In this article, we will look at the top 15 countries with the highest exports to China. If you want to skip our detailed analysis of China’s import industry, you can go to the 5 Countries with the Highest Exports to China.
China is one of the world’s top economies alongside the United States, it is the largest exporter and the second largest importer in the world. China’s imports are pivotal for its economy as they fulfill the country’s demand for raw materials, technologies, and other commodities. Crude petroleum, iron ore, copper ore, petroleum gas, and soybeans are some of China’s top imports.
An Analysis of China’s Imports
According to a report by the Observatory of Economic Complexity (OEC), by November 2023, China’s imports were valued at $224 billion and exports at $292 billion. The country’s main imports have been integrated circuits, crude petroleum, iron ore, copper ore, gold, and petroleum gas. Meanwhile, the exports mainly included telephones, computers, integrated circuits, and cars. In 2023, the country with the largest exports to China was Taiwan at $18.4 billion, followed by South Korea, Japan, the United States, and finally Australia.
Due to a scarcity of domestic crude oil production, China largely depends on imported resources to fulfill its demands. There is a diverse network of oil supply to China, to ensure steady supply in any geopolitical scenario. The largest crude petroleum imports are from the Middle East, Africa, and Russia. The US Energy Information Administration (EIA) reported that China imported 12% more crude oil from the previous year in 2023, thus importing a record volume of crude oil. The imports increased more significantly from 8 of the 10 countries that supply crude petroleum to China. This shows how the country’s demand is steadily increasing with each year, especially since COVID-19.
The import of iron ore and copper ore are both significant for China’s economy, due to its position as the largest steel producer in the world. Copper and iron ore are essential components in steel production. Due to China’s exhausted domestic reserves, it is much more cost-effective to import these raw materials from other countries. Iron ore is largely imported from Australia and Brazil, and China is the world’s largest importer of iron ore. China is also the largest importer of copper ore in the world. Mexico, Peru, and Chile are the main exporters of copper ore to China.
Now that we have discussed the significance of China’s largest imports, crude petroleum, copper ore, and iron ore, let’s look at the major companies that produce and trade these worldwide. You may also look at the Goldman Sachs China Stocks: Top 10 Stock Picks.
Largest Companies in Energy, Mining
Saudi Aramco (TADAWUL:2222) is a Saudi state-owned national oil company and the second-largest company in the world by revenue. It is the largest exporter of crude petroleum, making it a key player in the global oil market. On January 17, the company announced the expansion of its global venture capital, Aramco Ventures. Saudi Aramco (TADAWUL:2222) has doubled the allocated capital, taking the overall capital allocation from $3 billion to $7.5 billion. This includes $500 million in funding from Wa’ed Ventures for start-ups in Saudi Arabia. The venture capital arm of Saudia Aramco (TADAWUL:2222) aims to facilitate the development of new technologies, and innovative start-ups, and diversify industrial businesses.
Southern Copper Corporation (NYSE:SCCO) is a leading mining company that operates out of Mexico and Peru. The company produces and refines copper, zinc, silver, and other byproducts and operates worldwide. On October 24, 2023, Southern Copper Corporation (NYSE:SCCO) reported earnings for the fiscal third quarter of 2023. The company reported earnings per share of $0.80 and outperformed EPS estimates by $0.04. The company’s revenue for the quarter grew by 16.17% and amounted to $2.51 billion, ahead of market consensus by $94.90 million. Southern Copper Corporation (NYSE:SCCO) is a major contributor to the worldwide trade of copper and its byproducts. 10 Best Copper Stocks to Buy have also been previously covered.
In the global iron ore market, Vale SA (NYSE:VALE) holds the largest share in iron ore production in the world. It is a Brazilian metal mining company with the largest logistics network in the country. On December 11, 2023, Vale SA (NYSE:VALE) announced the inauguration of the world’s first iron ore briquette plant in Vitoria. The iron produced through briquette machines is much stronger than the one produced through traditional methods, moreover, this process emits less toxic gasses such as sulfur dioxide and nitrogen. Vale SA (NYSE:VALE) guarantees a production of 2.5 million tons by this year as it reported that over 30 companies around the globe are interested in shipments. You can also take a look at the 16 Largest Iron Ore Producing Countries In The World.
Photo by David Veksler on Unsplash
Methodology
To determine the top 15 countries with the highest exports to China, we sifted through the database provided by the Observatory of Economic Complexity (OEC). The database listed the imports and exports to and from China in 2021. The imports were characterized by origin and product type. We checked the countries with the highest exports to China, by dollar value, and selected the top 15 countries. The top 15 countries with the highest exports to China are listed below in ascending order.
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15 Countries with the Highest Exports to China
15. Switzerland
Value of Exports in 2021: $33.1 billion
Switzerland ranks 15th on our list of the countries with the highest exports to China. China is among Switzerland’s largest trading partners, and the top partner in Asia. The main products exported by Switzerland to China each year include vaccines, gold, antisera, and base metal watches. In 2021, China imported goods and services worth $33.1 billion from Switzerland.
14. Thailand
Value of Exports in 2021: $37.7 billion
Thailand ranks 14th on our list of the top 15 countries with the highest exports to China. The two countries are partners in numerous economic exchanges and have a steady trade flow. Thailand exports fruits, synthetic rubber, and office machine parts to China. In 2021, China imported goods and services worth $37.7 billion from Thailand.
13. Malaysia
Value of Exports in 2021: $47.9 billion
Malaysia’s largest trading partner is China, with a diverse range of products being traded between the two countries. China imports petroleum gas, integrated circuits, and blank audio media from Malaysia. In 2021, Malaysia exported goods and services worth $47.9 billion to China.
12. Saudi Arabia
Value of Exports in 2021: $48.7 billion
Saudia Arabia ranks 12th on our list of the top 15 countries with the highest exports to China. The export rate from Saudia Arabia to China is greater than the products it imports. China imports ethylene polymers, crude petroleum, and acyclic alcohol from Saudi Arabia. In 2021, Saudi Arabia exported goods and services worth $48.7 billion to China.
11. Indonesia
Value of Exports in 2021: $54.5 billion
Indonesia ranks 11th on our list of the top 15 countries with the highest exports to China. There are significant bilateral trade and investments between the two countries. Indonesia exports lignite, coal briquettes, and ferroalloys to China. In 2021, China imported goods and services worth $54.5 billion from Indonesia.
10. Singapore
Value of Exports in 2021: $56.8 billion
Singapore is the largest investor in China’s economy and one of its largest trading partners. China imports machinery, photo lab equipment, and integrated circuits from Singapore. In 2021, Singapore exported goods and services valuing $56.8 billion to China.
9. Vietnam
Value of Exports in 2021: $57.8 billion
Vietnam ranks 9th on our list of 15 countries with the highest exports to China. It is a Southeast Asian country bordering China to the north. The main exports from Vietnam to China are integrated circuits, telephones, and pure cotton yarn. There has been a steady unilateral trade between the two countries. In 2021, the value of exports from Vietnam to China was valued at $57.8 billion.
8. Russia
Value of Exports in 2021: $70.9 billion
Russia ranks 8th on our list of the 15 countries with the highest exports to China. Russia mainly exports coal, refined petroleum, and crude petroleum to China. Presently, due to the conflict with Ukraine, China is Russia’s trade partner. However, in 2021, China imported goods and services worth $70.9 billion from Russia.
7. Brazil
Value of Exports in 2021: $88.3 billion
China is Brazil’s largest exporter which clearly shows the strong trade ties between the two countries. Brazil exports soybeans, iron ore, and crude petroleum to China. In 2021, China imported goods and services worth $88.3 billion from Brazil.
6. Germany
Value of Exports in 2021: $121 billion
Germany ranks 6th in the top 15 countries with the highest exports to China. Germany primarily exports motor vehicles, cars, and car parts. There have been trade deficits between the two countries in recent years, with exports to China decreasing and imports increasing. In 2021, China imported goods and services worth $121 billion from Germany.
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Disclosure: none. 15 Countries with the Highest Exports to China is originally published on Insider Monkey.