२ आश्विन २०८३, शुक्रबार

China Remains EAC’s Largest Trading Partner as Regional Trade Reaches $52.3 Billion

Dragon Media News Desk

China remained the largest individual trading partner of the East African Community in the second quarter of 2026, as the region’s total trade increased by 37 percent year on year to $52.3 billion.

According to the latest EAC Quarterly Statistics Bulletin, the region’s exports to China recorded particularly strong growth. EAC exports to China nearly doubled from $5.7 billion in the second quarter of 2025 to $10.7 billion in the same period of 2026, largely driven by mineral commodities and other raw materials. Imports from China also increased, rising from $4.7 billion to $7.1 billion during the same period.

Overall EAC exports increased by 41.3 percent to $26.3 billion, while imports grew by 32.9 percent to $26 billion. As a result, the region recorded a trade surplus of $300 million, marking a significant turnaround from the $945.3 million trade deficit registered in the second quarter of 2025.

Intra-EAC exports also expanded, increasing by 33.2 percent to $3.2 billion. However, their share of total exports declined from 12.8 percent to 12.1 percent, indicating that while trade among member states continued to grow in absolute terms, exports to markets outside the regional bloc expanded at an even faster pace.

Copper and precious metals accounted for 61.9 percent of total exports, highlighting the region’s continued dependence on mineral commodities. Coffee, tea and spices remained among the EAC’s key agricultural exports, maintaining their importance within the region’s broader external trade structure.

Economic indicators also showed changes beyond trade. Annual headline inflation across the EAC declined from 11.1 percent in April to 7.8 percent in June, while broad money supply increased by 15.3 percent year on year to $107.7 billion. The combination of expanding trade, a shift from a trade deficit to a surplus and declining inflation marked notable developments in the region’s economic performance during the quarter.

The rapid expansion of trade with China also underscores the growing importance of China-EAC economic relations. In particular, the sharp increase in EAC exports to China indicates that the relationship is not defined solely by Chinese exports to East Africa, with the flow of East African commodities into the Chinese market also expanding significantly.

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