China reduces its holdings of U.S. Treasury bonds to a 17-year low, continuously lowering risks of dollar assets

Foreign media: China reduced its holdings of U.S. Treasury securities to the lowest level in 17 years in October 2025, at 688.7 billion U.S. dollars, a decrease from 700.5 billion U.S. dollars in September, and a reduction of more than 47% compared to the peak of nearly 1.32 trillion U.S. dollars in November 2013.

This trend began during Trump's first term, and it continued in 2025 due to concerns about the sustainability of U.S. debt and doubts about the independence of the Federal Reserve. In March, China had already dropped to the third largest holder of foreign-held U.S. Treasury securities, behind Japan and the United Kingdom.

Yu Yongding, a former advisor to the People's Bank of China, also warned that the risks of U.S. dollar assets are increasing.

Original article: toutiao.com/article/1851946654624832/

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