China's Trade Strategy: Indirect Exports to the U.S. via Southeast Asia and Mexico

TL;DR;

In 2024, the U.S. experienced a goods trade deficit of $1.12 trillion, while China had a goods trade surplus of $992.1 billion, largely attributed to trade with the U.S. Despite a decrease in direct exports to the U.S., China has increased exports to Southeast Asian countries and Mexico, which then export to the U.S. with low tariffs.