Fruit and Tree Nuts Outlook No. (FTS-32001) 21 pp

February 2006

China's Rising Fruit and Vegetable Exports Challenge U.S. Industries

China has raised its profile in global fruit and vegetable markets, with the value of its exports during 2002-04 more than double the value from a decade earlier. Most of China's exports are processed fruits and vegetables that do not yet pose a serious challenge to U.S. exports. However, China's fresh vegetable sales to Japan and other Asian markets compete directly with U.S. products. In addition, the United States has been the largest market for China's apple juice exports. Over time, China's growing domestic market may absorb more of its production. Moreover, China faces stiff challenges in improving the quality and safety of its products, upgrading its marketing and distribution infrastructure, and reducing marketing costs.

Keywords: Fruit, vegetables, China, Asia, apples, exports, competition, marketing, costs of production, food safety

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