China has been actively reducing its holdings of US Treasuries since 2011, marking a long-term structural shift in global reserve allocation.

Once the largest foreign holder of US government debt, China has gradually diversified its reserves, lowering exposure to dollar-denominated assets over more than a decade.

This trend is often linked to:

• strategic reserve diversification
• geopolitical tensions between China and the US
• long-term de-dollarization narratives
• increased gold accumulation and alternative asset allocation

While China remains a significant holder of US debt, the steady reduction highlights a broader global movement toward multi-polar reserve strategies.

For macro traders, Treasury holdings data remains a key indicator in assessing:

• global dollar demand
• bond market stability
• long-term structural pressure on the USD

The shift is gradual — but structurally meaningful.