U.S. orders are rapidly returning to Chinese suppliers following the latest adjustments in the U.S.-China tariff policies, boosting the production of export-oriented manufacturing companies in China.
China and the United States announced in Geneva a series of tariff modification measures aimed at easing trade tensions between the world's two largest economies on May 12, which have stimulated bilateral trade.
In Longgang City of east China's Zhejiang Province, local packaging companies have received large orders from U.S. clients. Worrying about another round of tariff policy shift by the Trump administration, many of the buyers hope to finalize the orders within the 90-day tariff suspension window. In response, factories in Longgang are running at full capacity to meet the timelines.
"From now on, we will give the green light to all our U.S. clients, and we expect to deliver rapidly within the 90-day period. To better cope with the tariff policies, we are going to set up branches in Mexico and Europe," said Lin Fumiao, general manager of a packaging company in Longgang.
Foreign trade companies in Xiamen City of east China's Fujian Province have also seen a surge of orders from the U.S. since May 12. According to Chen Liang, deputy general manager of a shoe company in Xiamen, his U.S. clients called him to resume the orders at midnight local time, immediately after learning of the tariff cut.
"Nearly all U.S. orders have resumed, and some clients are even placing new orders," said Chen.
Over 60 percent of this company's international business comes from the U.S. The earlier trade tensions had left them with more than one million unsold pairs of shoes. Now, within just a few days, much of that inventory is being shipped out, while new orders keep arriving. To meet surging demand, the company is ramping up staffing and reallocating production capacity.
Another textile exporter in Xiamen is experiencing a similar recovery. Roughly 10 million-yuan (about 1.4 million U.S. dollars) worth of previously unsold clothing is now in the delivery pipeline, and the company has secured additional orders totaling 2.7 million U.S. dollars.
Despite the current boom, Liu Dongliang, the company's general manager, emphasized the importance of diversification to guard against future global trade uncertainties.
"We need to walk on two legs. We are actively developing markets in other countries, like Belt and Road partners. And are also exploring the domestic market. We will launch our own domestic brand this year and sell our products across all major platforms," said Liu.
With the sharp rebound in export volumes, China's logistics sector is also ramping up operations. Logistics companies and freight forwarders in Xiamen have reported a spike in inquiries and bookings for shipments to the U.S., with a shipping peak expected next week.
A logistics firm based in Xiamen's Free Trade Zone noted that within just two days of the tariff reductions taking effect, their daily customs declarations for U.S.-bound shipments jumped from around 30 to over 200.
"Our business was relatively sluggish, but it leaped to a sudden surge. Inquiries and shipments from clients have increased significantly. We expect a major rise in seaborne exports to the U.S. starting next week," said Ye Xi, the general manager of a logistics company in Xiamen.
The surge in ocean freight is also mirrored in air cargo. Staff at another Xiamen-based logistics provider said their air freight bookings for the next two weeks are already up about 30 percent compared to previous levels.
Chinese exporters see surging US orders after tariff cut
