The second-largest economy in the world has been steadily unloading hundreds of billions of dollars worth of US government-backed securities for more than a decade.
New numbers from the U.S. Treasury Department show China’s holdings of Treasury securities have reached a low not witnessed in over 14 years.
China was in the process of gradually accumulating US Treasuries until May of 2013, when its stockpile reached an all-time high of $1.297 trillion.
Since then, the BRICS nation has been steadily divesting its Treasury holdings, paring its ownership down to $805.4 billion as of August 2023 – a decrease of over $491 billion from the peak.
China’s quiet distribution of its Treasury holdings comes as a top rating agency lowered its outlook on the debt of the