China has overtaken the United States in 2020 to become the EU’s largest trading partner.
The Corona epidemic has reduced trade between Europe’s key partners, but China has managed to avoid these negative effects.
Last year, trade between China and the European Union was 709 billion, while in 2020, US trade was 1 671 billion.
Although China’s economy deteriorated in the first quarter due to the Corona epidemic, demand for goods from the European Union increased at the end of the year after the economic situation improved.
In 2020, China was the only country in the major global economies to see economic growth. As a result, demand for European cars and luxury goods increased.
Meanwhile, strong exports of medical and electronic devices also benefited China’s exports to Europe.
According to Eurostat, the European Union’s statistics office, China was a key EU partner in 2020. This was the result of an additional 5.6 per cent increase in imports and a further 2.2 per cent increase in exports.
The EU figures are similar to the official figures released by China in January. According to China, trade with the European Union increased by 5.3% in 2020 to 69 696 billion.
According to Eurostat data released on Monday, the European Union’s trade deficit with China has also increased from 199 199 billion to 9 219 billion.
Although the United States and the United Kingdom are still the EU’s largest export markets, statistics show that there has been a sharp decline in trade between the two countries.
Eurostat says trade with the United States has fallen sharply, to 13.2% in both imports and 8.2% in exports.
Trade between the two countries has been hampered by a series of disputes between the two countries, which have led to the imposition of duties or taxes on American Harley-Davidson motorcycles in addition to steel and French Cognac.
In 2020, US trade with the European Union was 67 671 billion, up from 6 746 billion a year ago.
It is unclear whether the new US president, Joe Biden, will reconsider his country’s stance on trade with Europe.
But in the meantime, the EU and China are trying to strengthen their economic ties. To that end, the two sides are trying to reach an investment agreement that will make it easier for European companies to access the Chinese market.
Experts believe that after the poor performance of 2020, the situation of international trade will improve this year.
Research firm IHS Markets estimates that international trade could grow by 7.6% this year. Last year, world trade fell 13.5 percent.
Increase in freight trains in China and Europe
China’s state-run railway says 12,400 trains will run between China and Europe in 2020, up 50 percent from the previous year.
China’s state-run railway says this is the first year that freight traffic between China and Europe has increased by 10,000 a year.
Freight vehicles exchanged 1.14 million 20-foot containers, up 56 percent from a year earlier.
The increase in the movement of commercial goods through freight vehicles is a tangible development in bilateral trade and has set a new direction for trade.