U.S. exports to China fell in 2015 compared to the two years prior, due to a slowing economy, but exports of goods and services are growing rapidly, according to a new report from the U.S.-China Business Council (USCBC).
Goods exported to China totaled $113.4 billion in 2015, down 5.8 percent from 2014. China is now the third-largest export market for the U.S., trailing Canada and Mexico.
"Though U.S. exports to China slowed in 2015 compared to previous years, U.S. exports to China have grown faster over the last decade than exports to any other top U.S. trade partner," the council said in its report released on Thursday.
U.S. goods exported to the Chinese mainland and Hong Kong (often an entry point for U.S. exports destined for the Chinese mainland) rose 115 percent, the report said.
"Exports to China play an essential role in the U.S. economy and job growth," John Frisbie, USCBC president, said in a statement.
"With China's large population, rapidly growing middle class, and long list of economic development goals, American companies of all sizes are sending a variety of goods and products to an ever growing consumer and business marketplace in China," he said.
In addition, the export of goods and services to China is a bright spot for the U.S.: it has grown almost 9 percent annually over the last decade, despite last year's decline of 6 percent, and China is the fourth-largest U.S. services export market.
Top services exports include travel and tourism, financial services, express delivery and business and professional services.
Last year 30 states exported more than $1 billion in goods to China and 31 states have experienced triple digit export growth to China since 2006, according to the report. The top 10 states exporting goods to China in 2015 are Washington, California, Texas, Illinois, Oregon, South Carolina, Michigan, New York, Ohio and Alabama.
South Carolina saw the biggest growth between 2006 and 2015 at 581 percent, followed by Alabama at 510 percent, Washington at 262 percent, Iowa 257 percent and Oregon 242 percent.
Though the report emphasized the importance of the Chinese market to the U.S., it also said that the U.S. has just a small share of the overall Chinese market. China imports approximately 6.5 percent of its goods from the U.S., which lags behind countries in the European Union and South Korea, a deficit that has been further impacted by the slowing Chinese economy.
USCBC suggested that the U.S. push forward with negotiations on a bilateral investment treaty with China, saying it will "reduce ownership and licensing barriers that keep American companies from selling more products and services in China".
