July 2021 Trade Bulletin

Highlights of This Month’s Edition

• U.S.-China Trade: In May 2021, U.S. exports to China were $12.4 billion, an increase of nearly 29 percent over the same month in 2020, while imports from China totaled $38.7 billion, up 5.8 percent; year-to-date, the U.S. goods deficit with China continued to grow, reaching $130.7 billion.
• Supply Chain Security: The Biden Administration formulates strategy to revitalize U.S. manufacturing capabilities in key industries following review of supply chain vulnerabilities.
• Forced Labor: The Biden Administration and the U.S. Congress took additional steps to restrict imports related to forced labor in Xinjiang, reflecting broad bipartisan recognition of abuses and need for action.
• China’s Anti-Foreign Sanctions Law: China’s National People’s Congress passed broad legislation to counter foreign sanctions with potentially significant consequences for foreign business and entities operating in China.
• COVID-19 Economic Disruptions: COVID-19-related lockdowns at Guangdong ports precipitated a regional shipping bottleneck, exacerbating the rise in global shipping prices; Chinese government extended border restrictions to the second half of 2022, indicating China’s economy is unlikely to reopen fully for at least a year.
• Cryptocurrency Crackdown: Chinese government’s expanding crackdowns on cryptocurrency mining and related business cause rapid drop in value in digital currency markets.
• In Focus: China’s Data Governance: The June passage of China’s Data Security Law, the latest in a series of laws on data, underscores the Chinese government’s increasing efforts to gain control of data stored in China and to influence international data governance practices.