Pakistan’s exports to China jump nearly 49% in first five months of 2026

Pakistan’s exports to China recorded a remarkable increase during the first five months of 2026, reflecting stronger trade ties between the two countries

ISLAMABAD: Pakistan’s exports to China recorded a remarkable increase during the first five months of 2026, reflecting stronger trade ties between the two countries and growing demand for Pakistani products in the Chinese market.

According to figures released by China’s General Administration of Customs (GACC), Pakistan exported goods worth more than $1.55 billion to China between January and May 2026. This represents a year-on-year increase of 48.7 percent compared to exports valued at $1.04 billion during the corresponding period in 2025.

The sharp rise translates into an additional $507 million in export earnings within just five months, making it one of the most significant improvements in bilateral trade in recent years. Analysts attribute the growth to increased shipments of minerals, agricultural products, and the continued benefits of preferential market access under the China-Pakistan Free Trade Agreement (CPFTA).

Copper products remained the leading contributor to Pakistan’s exports, accounting for nearly 44 percent of the total export value. Exports of copper and related products surged to approximately $675 million during the period, compared with $393 million in the first five months of 2025, reflecting an impressive increase of more than 71 percent.

Trade activity accelerated significantly during March 2026, which emerged as the strongest month of the year. Pakistani exports reached $361.6 million during the month, representing an 84.3 percent increase compared with March 2025. Industry experts linked the surge to higher copper shipments and the commencement of seasonal rice exports to China.

The momentum continued in the following months, with exports totaling around $331 million in April and $286 million in May. Despite a slight slowdown from March’s peak, May’s performance remained stronger than any monthly export figure recorded in 2025, highlighting sustained demand for Pakistani goods.

Regional trade data showed that Zhejiang Province remained the largest destination for Pakistani exports, importing goods worth more than $480 million. The province’s role as a major copper-processing center in China has made it a key market for Pakistani mineral exports. Imports from Pakistan into Zhejiang increased by about 40 percent compared with the previous year.

Meanwhile, Beijing witnessed one of the fastest growth rates among Chinese regions. Imports of Pakistani products into the Chinese capital rose from roughly $101 million to $232 million. The increase was largely driven by greater purchases of Pakistani rice and sesame seeds by government procurement agencies and commercial buyers.

Another notable development was the rapid expansion of trade with the Guangxi Zhuang Autonomous Region. Imports from Pakistan into the region tripled to approximately $53 million, indicating growing commercial activity through land-based trade routes connected to the China-Pakistan Economic Corridor (CPEC), particularly the Gwadar-Xinjiang logistics network.

Officials and trade experts credit the China-Pakistan Free Trade Agreement for creating favorable conditions for exporters. The agreement has enabled Pakistani businesses to benefit from reduced tariffs and improved market access across a wide range of product categories. During the 2024-25 fiscal year, exports worth more than $2.16 billion reportedly entered China under FTA concessions.

Looking ahead, both countries are engaged in negotiations for Phase III of the CPFTA. The proposed expansion is expected to cover around 700 additional tariff lines, potentially opening new opportunities for Pakistani exporters. Sectors expected to benefit include cereals, halal meat, processed textile products, minerals, and other value-added goods where Pakistan possesses considerable untapped export potential.

Economists believe that successful implementation of the next phase of the agreement could further strengthen Pakistan’s export sector, diversify its trade basket, and enhance foreign exchange earnings while deepening economic cooperation between Islamabad and Beijing.