Germany-China Relations in a World of Turbulence and "Changes Unseen in a Century."
Total Trade 2025
€252.3B
China returns as #1 Partner
Trade Deficit
€90.0B
▲ €30B increase in 12 months
Diplomatic Goal
Fair Reset
Multi-ministerial visits planned
The Widening Export-Import Gap
As Chancellor Merz seeks "fair cooperation," data from the German Economic Institute reveals a significant divergence: Germany is importing more while its industrial exports struggle to compete in the Chinese market.
Import Surge (+8.8%)
German consumers and businesses are increasingly reliant on Chinese-made goods and components.
Export Drop (-9.7%)
De-industrialization pressures and local Chinese competition are hollowing out traditional German leads.
Industrial Fallout
120,000
German Jobs Shed in 2025
"We have specific concerns... we want to improve and make cooperation fair." — Friedrich Merz
The EV Transition
China is setting the pace in electromobility and AI, creating "competitive distortions" for German automakers.
Source: EY Estimates & VW Group China Insights
A New Multilateral Order
USA
"Unpredictable Partner"
Tariff policy & protectionism forcing European reassessment.
GERMANY
Export Dependency
Seeking global partners to offset US tariff impacts.
CHINA
"Strategic Rival"
Advocating for free trade while defining new global rules.