Where Data Tells the Story
© Voronoi 2025. All rights reserved.
The U.S. trade deficit with China as a percentage of GDP Rise from 1980s, matured in the mid-2010s to 2018, and declined since 2018.
Key events mark shifts in U.S.-China trade relations:
· 1980s Trade Liberalization: A gradual increase in trade deficits began during this period of open trade policies.
· 2001 (China's WTO Accession): China's entry into the World Trade Organization triggered a sharp rise in the U.S.-China trade deficit.
· 2008 (Global Financial Crisis): The deficit peaked just before the financial crisis, reflecting a period of economic imbalance.
· 2018 (Onset of the U.S.-China Trade War): Tariffs and tensions initiated a decline in the trade deficit.
The forecast suggests a continued narrowing of the deficit, reflecting shifts toward decoupling or restructuring trade dependencies with China, returning to 1990s levels.