Strong Subnational Ties with China
Photo Credit: Image-Source | Envato
In recent years, the value of Alaska’s overseas exports has risen to record levels, now topping $6 billion annually. With seafood, minerals, and metals as the state’s leading export categories, these shipments are destined for the state’s primary export markets. These buyers are predominantly situated in the Asia-Pacific region of the world. Among these markets, China has been, and remains, the largest customer of Alaska exports for more than a decade.
Indeed, the rise of China to global economic prominence, and its growing need for natural resources to support that rapid growth, has translated directly into success for Alaska exports and the state’s economy generally. Many thousands of jobs across the state, for example, are tied to the export of commodities and services to China and other important markets.
Tail of the Dragon Decade
China became the state’s number one export destination in 2011 when Alaska shipments to the Middle Kingdom reached $1.5 billion. Since then, exports to the country have topped $1 billion annually. For 2023, the most recent period for which full-year numbers are available, China purchased $1.1 billion in Alaska commodities. Typically, China is the largest buyer in each of the state’s major export categories.
These figures are even more impressive in the context of how fast and how far they have grown in a relatively short period of time. In 2002, exports to China were just $100 million. They grew steadily year by year and reached $1.5 billion in just ten short years, a period that has been dubbed the “dragon decade.”
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April 2025
To foster and support Alaska’s commercial interests with China, the State of Alaska opened a trade office in Beijing in 2002. Alaska was one of the first American states to recognize the opportunities emerging from the rapidly expanding Chinese economy and establish an office presence to help Alaska companies to benefit from this growth. Although that office was closed in 2017, it played an important role during a dynamic period of trade development.
Alaska’s relationship with China is at the sub-national level. While Washington, DC and Beijing are often at odds with each other on a variety of subjects, and likely always will be, Alaska and Chinese companies continue to work diligently to maintain and expand strong commercial ties, to the extent possible in compliance with the trade policies of the two nations.
People to People
Trade is not the only shared interest between Alaska and China. The country, which boasts one of the largest outbound markets for tourism, is a growing opportunity for Alaska as a destination. Besides efforts by Alaska tourism promotion organizations to attract more visitors from China, Chinese President Xi Jinping’s diplomatic visits to Alaska and the US-China Summit held in Anchorage in March 2021 have helped to generate interest in Alaska for Chinese travelers.
There are other commercial fields as well, including air cargo transportation, with Anchorage serving as a bridge between China and the Lower 48. Half a dozen Chinese air carriers currently utilize the Ted Stevens Anchorage International Airport for cargo operations. These carriers include Air China, China Southern Airlines, and Cathay Pacific. In addition, numerous American carriers operate in and through Anchorage for their cargo flights to China. These include Atlas Air, FedEx, and UPS, among others. The rapid growth of ecommerce shipments has helped propel increasing activity at the Anchorage airport.
Beyond the strong commercial ties between Alaska and China, there is also people-to-people diplomacy at work. Alaska has a long-standing sister state relationship with Heilongjiang, China’s northernmost province. Further, the Municipality of Anchorage has a sister city partnership with Harbin, the capital city of Heilongjiang Province. The city is located approximately 650 miles north of Beijing and has a metro area population of more than 10 million people. Recent visiting delegations from the city and province, celebrating the 40th anniversary of these relations, have reignited interest from both sides to do more in the realm of cultural exchanges.
On the education front, young Alaskans studying Mandarin is made possible through the Anchorage School District’s Chinese language immersion program. Started in 2016, the program involves three local schools—Scenic Park Elementary, Begich Middle School, and Bartlett High School. More than 200 students are currently enrolled in the program.
Alaska’s relationship with China is at the sub-national level. While Washington, DC and Beijing are often at odds with each other on a variety of subjects, and likely always will be, Alaska and Chinese companies continue to work diligently to maintain and expand strong commercial ties.
Center of World Trade
The Alaska International Business Center (akIBC) has been constructive on the China trade for more than twenty years and plays an active role in maintaining and building trade ties between Alaska and China. In December 2024, the akIBC conducted its 18th annual Alaska-China Business Forum in Anchorage. The event brings together Chinese and Alaskan government officials and business executives and serves to highlight the size and significance of the commercial ties that exist and opportunities to create new ones.
The akIBC organizes and leads trade missions to China giving Alaskans a firsthand, boots-on-the-ground look at the market environment. Further, it participates in trade shows in various Chinese cities, most recently to Xiamen in southeast China, where the akIBC had a booth at a major trade show representing the products and services of nearly twenty different Alaska companies. In July 2024, akIBC announced the opening of a satellite office facility in Hong Kong. This foothold will give Alaska a physical presence to further promote exports and other business activities.
Looking forward, while relations may be frosty at the nation-to-nation level, Alaska, which enjoys old friend status in China, can play a positive role in bringing the two countries, the first and second largest economies in the world, closer together through partnerships and projects that are win/win for both sides. The Alaska–China relationship is strong and growing and is a natural partnership based on mutual benefit.
Greg Wolf is the President and CEO of the Alaska International Business Center.
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