TRADE TIES, TRUMP TENSIONS
For all of the friction over Beijing’s help for Russia and its actions within the Indo-Pacific, and Berlin’s vocal criticism of China’s human rights file and state-subsidised industrial coverage, the 2 nations stay certain by an enormous and mutually advantageous business relationship.
China purchased US$95 billion price of German items final 12 months, round 12 per cent of which have been automobiles, Chinese language knowledge reveals, placing it among the many US$19 trillion financial system’s prime 10 buying and selling companions. Germany bought US$107 billion of Chinese language items, principally chips and different digital parts.
However Berlin stands out for China as an funding companion, having injected US$6.6 billion in recent capital in 2024, in accordance with knowledge from the Mercator Institute for China Research. This accounts for 45 per cent of all international direct funding into China from the European Union and the UK.
Li stated he “hoped Germany would preserve a rational and pragmatic coverage towards China, (and) remove interference and strain”, throughout their assembly in South Africa, which is internet hosting the primary G20 summit on the continent.
Germany is but to publish a readout of the assembly.
For Germany, China represents a virtually irreplaceable auto market, and is chargeable for nearly a 3rd of German automakers’ gross sales. German chemical compounds and prescribed drugs companies even have a big presence within the nation, though they’re going through growing strain from home rivals.
“China is prepared to work with Germany to grab future improvement alternatives … in rising fields corresponding to new power, good manufacturing, biomedicine, hydrogen power know-how, and clever driving,” Li stated.
