Mariam Kvrivishvili: “China is one of the largest trading partners and investments from China are on the rise.”

Verdict: FactCheck concludes that Mariam Kvrivishvili’s statement is HALF TRUE.

China ranked fourth in foreign trade turnover in 2024. It also held fourth place from January to October 2025. China is third in imports and seventh in exports. Since 2022 exports to China have fallen 59% below the 2020 level. Local exports show a similar trend with a 61% drop in 2024 as compared with 2022. The decline was driven by lower demand for copper ores. Falling exports and rising imports pushed the trade deficit with China to 68% in 2024 and 73% from January to October 2025.

Direct foreign investments from China doubled from January to June as compared with the same period last year but only due to the base effect. Despite the sharp rise, China’s share reached just 1% placing it twentieth. It should also be noted that China’s share in direct foreign investments has never been particularly high, averaging 3% annually from 2013 to 2024.

Considering the nominally correct information but the omission of key facts, FactCheck concludes that Mariam Kvrivishvili’s statement is HALF TRUE.

Analysis

At a meeting during the UN International Maritime Organization (IMO) assembly in London, Mariam Kvrivishvili commented on economic ties with China, stating: “Today, China is one of Georgia’s largest trading partners and investments from China showed a rising trend in the first half of 2025.”

Exports to China reached USD 246 million from January to October 2025, constituting a 4% decline from the same period last year. China’s share in exports fell 0.5 of a percentage point to 4.2%. Unlike exports, imports grew 21% over ten months to USD 1.6 billion with China’s share rising one point to 10.8%. China ranked seventh in exports, third in imports and fourth in trade turnover.

Unlike exports, imports grew 21% over ten months to USD 1.6 billion. At the same time, China’s share in imports rose one percentage point to 10.8%.

China ranked seventh in exports, third in imports and fourth in trade turnover.

Graph 1: Foreign Trade Turnover with China (USD million)

Source: National Statistics Office of Georgia

A free trade agreement between Georgia and China has been in effect since 2018. Exports to China had already been growing rapidly, rising almost 500% from USD 34 million in 2013 to USD 202 million by 2017. Exports stalled in 2018-2019 but rapid growth resumed, making China the top export partner from 2020 to 2022. Exports to China fell 58% in 2023. The main driver of both sharp increases and declines was copper ore, which accounted for USD 583 million of the USD 737 million in exports, or 79%, in 2022. Copper ore exports fell to USD 39 million by 2024. China was no exception: global copper ore exports exceeded USD 1 billion in 2022, fell to USD 479 million in 2023 and dropped to USD 94 million in 2024.

Graph 2: Structure of Exports to China (USD million)

Source: National Statistics Office of Georgia

Precious metal ores led exports to China in 2024 with USD 181 million, followed by copper ores at USD 39 million. The trend continued in 2025 with USD 175 million in precious metal ores and USD 22 million in copper ores sold from January to October.

Wine exports to China totalled USD 3 million in 2013, rising to USD 20 million by 2017 and ranking second after copper ores. Wine exports declined from 2018, except in 2021, falling to USD 9 million by 2024.

Unlike exports, imports are far more diversified. Of the USD 1.6 billion imported in 2024, trucks led with USD 59 million. Whilst a single product can exceed 50% or even 80% of exports, the top import product accounted for just 3.7%.

The list of imported products is extensive, covering over 850 items. Besides trucks, the top ten also include tires, air conditioners, passenger cars, computing machines, meat and lighting equipment.

Georgia has always had a negative trade balance with China except for a minor exception in 1995. Whilst the average deficit was 19% from 2020 to 2022, falling exports and rising imports pushed it to 68% in 2024 and 73% from January to October 2025.

Direct foreign investments from China rose 229% in the first two quarters of 2025 as compared with the same period last year but this growth was driven by the base effect. Despite the surge, investments from China totalled only USD 7.4 million in six months, less than 1% of total direct foreign investments of USD 764 million.

Direct foreign investments from China fell sixteen-fold from USD 99 million in 2023 to USD 6.2 million in 2024. China’s share in direct foreign investments averaged 3% annually between 2013-2024 with the highest levels recorded in 2013-2014. Detailed data on which sectors received investments from which countries is available on the direct foreign investments portal only from 2016 making it difficult to pinpoint the sectors for earlier investments. Of the USD 76 million from China in 2018, USD 45 million went to construction and in 2023 USD 65 million of USD 99 million was also directed to the construction sector.

Graph 3: Foreign Direct Investments from China

Source: National Statistics Office of Georgia

Chinese business in Georgia today is mainly represented by Hualing Plaza and BasisBank. At one point there were active talks for BasisBank to be acquired by the country’s third-largest bank, Liberty Bank, but the deal did not materialise. BasisBank also sought to acquire Bank Republic in 2016 but it was eventually bought by TBC. China also participates in state tenders, mainly in highway construction.

A Chinese company competed in the Anaklia port construction tender in 2014 but the contract went to a Georgian-American group. Later, construction stalled and a new tender was announced in which the Chinese company CCCC was named the winner by the government in 2024, although its official winner status was never granted.

China ranks fourth amongst Georgia’s trade partners, largely due to imports, which reached record levels. Exports to China in 2024 were 36% below the 2020 level with an additional 4% drop from January to October 2025. As compared with the peak in 2022, total exports to China fell 59%, including a 61% drop in local exports. Direct foreign investments from China rose sharply over six months but only due to the base effect. From January to June China’s share in direct foreign investments did not even reach 1%. Considering the nominally correct information but the omission of key facts, FactCheck concludes that Mariam Kvrivishvili’s statement is HALF TRUE.