The March 2023 export data suggests that China's export direction is changing, with the Belt and Road countries and CREP regions potentially occupying a more important position in China's future exports.

The latest figures reveal a decline in the proportion of traditional markets such as Japan, Europe and the US, and an increase in the proportion of ASEAN, Russia, Kazakhstan, Saudi Arabia, Ukraine, Oman and Brazil.

The strong performance of China's textile and apparel exports in March highlights the need for businesses to stay aware of changing trends and to adapt to the evolving global trade landscape.

China's textile and apparel exports in March 2023 were remarkably strong, growing by 32% year-on-year for garments and accessories. However, this was not consistent with the export situation perceived by the market. The latest monthly report released by China Customs sheds light on the direction change of China's textile and apparel exports.

The United States retained its position as the largest market for China's textile and apparel exports in March, followed by the European Union and Vietnam, with Japan dropping to fourth place. These four markets accounted for over 15% of the total exports. Vietnam, Malaysia, the Philippines, Indonesia, Thailand, Singapore and Myanmar were the major ASEAN markets, accounting for 19.7% of the total exports, which was 4.7 percentage points higher than that of the United States.

Compared to March last year, Japan, Europe and the US witnessed a decline in their proportion, while Philippines, Indonesia, the United Kingdom, Thailand and the United Arab Emirates also saw a modest decline. However, Vietnam, South Korea, Malaysia, Australia, India, Singapore, Russia, Kazakhstan and Saudi Arabia showed an increase in their proportion, with Singapore and Saudi Arabia registering a more significant growth.

Regarding the year-on-year growth of China's main export markets in March, Vietnam had the most substantial growth, followed by the United States. In contrast, Japan showed a decline. The exports to Singapore, Russia, Kazakhstan, Saudi Arabia and Australia grew by more than 50%, with Malaysia, South Korea and India also performing well, with a year-on-year growth of over 30%.

The largest growth in March was observed in ASEAN, Russia, Kazakhstan, Saudi Arabia, Ukraine, Oman and Brazil. Due to the low base of some regions in the early period, their increase was relatively large. Whereas, Japan and European countries witnessed the largest drop in the growth rate in March.