Summary
Germany's chancellor has arrived in China to address trade issues and encourage China to use its influence in ending the Ukraine conflict. The visit highlights concerns over a large trade imbalance, where Germany imports much more from China than it exports. German industry leaders are worried about their own market's ability to compete with China's subsidized products.
Key Facts
- The German chancellor traveled to China to discuss trade issues and the Ukraine war.
- In 2025, China's exports to Germany reached €170.6 billion, while Germany exported €81.3 billion to China.
- The trade imbalance is concerning for Germany's economy, affecting sectors like cars and chemicals.
- German exporters believe Chinese government subsidies give China a price advantage.
- Germany's car industry is struggling with job losses and transitioning to electric vehicles.
- The EU, including Germany, is considering measures to balance trade and reduce reliance on China.
- Germany seeks a balanced and fair trading partnership with China, according to Chancellor Merz.
