What does China need that we make and how can we increase our exports increasing our income to eliminate the deficit?

By Jeffrey A. Newman Esq.

To assess what the United States can manufacture and sell to China—and what is required to build this capacity—it’s important to review both current Chinese import needs and policy dynamics shaping future demand.

Highest-Demand US Exports to China (2024–2025)

Top categories of US goods currently exported to China include:

  • Electrical machinery and equipment (specialty semiconductors, advanced electronics)
  • Oil seeds and agricultural products (soybeans, grains)
  • Mineral fuels and oils (LNG, crude oil)
  • Nuclear reactors, industrial machinery, and parts
  • Aircraft, spacecraft, and parts
  • Optical, medical, and surgical instruments
  • Pharmaceuticals and biotech products
  • Plastics and related chemicals
  • Vehicles (especially components and specialty vehicles)
  • Organic chemicals

China has shown increased interest in highly specialized imported products, particularly those it cannot yet mass produce at sufficient quality for its advanced manufacturing ambitions (e.g., certain medical devices, biotech, advanced aircraft components, high-end semiconductors, industrial robotics, and innovative agritech).

Products China Wants but Cannot Domestically Replace (as of 2025)

Despite its ā€œMade in China 2025ā€ and continuous drive for self-sufficiency, China still needs:

  • Cutting-edge semiconductor manufacturing equipment and specialty chips (design, lithography, advanced wafer fabrication)
  • Precision medical devices and biotech inputs
  • Specialized aircraft components and aerospace technology
  • Advanced industrial machinery, robotics, and automation systems
  • Innovative agritech (GMO seeds, resource-efficient irrigation, animal genetics)
  • Selective pharmaceuticals and rare disease therapies
  • Energy and chemical process innovations (LNG infrastructure, carbon capture, etc.)

Additionally, China’s appetite for some US commodities (e.g., grains, meat, LNG) remains strong due to population size and internal resource constraints.

How to Build This Export Capacity

To compete successfully and realize greater exports to China:

  1. Invest in Advanced Manufacturing and R&D: Direct resources into the development and production of high-tech, IP-protected goods in sectors where China lags (semiconductor equipment, medical/biotech innovation, aerospace, and agritech). Leverage public/private partnerships and academic collaborations, as China itself does.
  2. Maintain and Enforce Quality and Compliance Standards: Invest in supply chain resilience, cybersecurity, and ensure products meet strict regulatory, security, and quality standards—key for entering Chinese markets that increasingly demand world-class performance.
  3. Engage in Strategic Trade Policy Negotiation: The current landscape is shaped by tariffs and non-tariff barriers. Continued advocacy and reciprocal trade deals help open markets for high-value goods.
  4. Localize Where Feasible to Access Chinese Supply Chains: Some sectors (e.g., medical/biotech devices) require local assembly or distribution partnerships due to China’s preference for domestic suppliers within its policy frameworks.
  5. Develop China-Facing Marketing and IP Protections: Build a robust China strategy with strong trademark/IP protections and in-market representation to protect technology and defend against forced localization.
  6. Scale Manufacturing and Train Workforce: Invest in manufacturing scale, automation, and upskilling the US workforce, in line with calls by both US and Chinese leaders to rebalance global manufacturing and consumption.
SectorMain OpportunityUS Competitive AdvantageChina’s Current Limitation
Semiconductors & EquipmentEquipment, design tech, ASICsR&D, innovation, design IPDomestic chip tech lags US/Europe
Medical Devices & BiotechDiagnostics, rare disease therapiesInnovation, regulatory trustShortfalls in design, quality
Aerospace & PartsCommercial/defense componentsProven, advanced techPlaying catch-up, depends on select imports
AgritechSeeds, automated farming, AI sensorsCrop science, biotech regulationResource, tech, and land constraints
Energy & Chemical ProcessesLNG, clean tech, carbon captureInnovation, integration, safetyPollution, efficiency, IP

Building or expanding these capabilities in the US means:

  • Boosting federal and private R&D investment.
  • Supporting STEM education and workforce development.
  • Incentivizing domestic manufacturing scale for high-tech exports.
  • Protecting and enforcing US intellectual property abroad.
  • Building strong trade and compliance teams to navigate evolving rules.

We need to Focus on manufacturing advanced technologies, biotech, aerospace, and sustainable energy solutions—fields where China needs expertise and scale that it does not yet fully control. Building this capacity requires not only investment in technology and skills, but an agile approach to trade policy and ongoing adaptation to Chinese industrial policies and global market trends.

Comment: Re-inventing America and learning from China

Jeffrey Newman is a whistleblower lawyer representing whistleblowers in export controls and other types of whistleblower cases. His website is  www.JeffNewmanLaw.com and
he can be reached at Jeff@Jeffnewmanlaw.com or at 978-880-4758