China International Trade overview – 2025/2026

In China, international trade in 2025 was largely affected by US-China trade tensions. Clients reported that lack of predictability in US trade policy has meant that insight into the US administration’s behaviour is highly sought after, with one client reporting that what they are looking for is “not just legal analysis, but what else our lawyers are hearing and insight into what the agencies are doing.” One lawyer noted that because of this uncertainty, “at the moment, tariffs are the most important issue, but we don’t know what the focus will be in 1-2 months from now.” Others echoed talk of “profound changes”, noting that both corporate clients and governments were “struggling with how to address the uncertainty” and citing knock-on effects for “APAC countries caught in a vice between China and the US.”

In 2026, US tariffs, sanctions and export controls will continue to be key issues for international trade in China, though Chinese policy will attempt to mitigate their impacts by shifting exports to other markets and fostering relationships in emerging markets in Asia, as well as in Africa and South America, via regional trade agreements. Alongside these measures, the Chinese Yuan is increasingly a currency of international trade, particularly among developing nations, as China seeks to further internationalise its currency.

China will also continue its strategy of increasingly exporting high-tech and digital goods to reduce dependence on foreign technology, with notable gains made in the fields of EVs, semiconductors, AI technology and green technology, as well as in online retail and digital services. Accordingly, legal expertise at the intersection of international trade law and the aforementioned industry sectors (and specific technologies) will remain highly valued.

The year ahead will likely see further upheaval in a landscape of continued unpredictability and complexity, with one lawyer observing: “There is a trend towards a more multilateral world, at the same time as localisation.” Accordingly, it is a challenging time for international trade lawyers in China as clients increasingly seek familiarity with the changing global situation, as well as specific expertise and local knowledge in the jurisdictions relevant to their operations and supply chains. Those that see the most success will likely combine the ability to advise on a rapidly changing and unpredictable global circumstances with the ability to advise on specific localised regulatory issues and/or seamlessly plug clients into a network enabling access to more localised advice.