Germany and China Try to Reset Relations for a Changed World
Germany and China Restart Government Consultations
This week, Germany and China will resume government consultations that were paused after Russia's invasion of Ukraine. The consultations are aimed at resetting relations between the two countries in light of the changed global landscape.
German Chancellor's Delicate Balancing Act
German Chancellor Olaf Scholz recently visited China in an attempt to strike a delicate balance between promoting German business interests and addressing human rights concerns. Germany has a strong economic relationship with China, with around 5,000 German companies operating in the country.
German Businesses Cautious About China
However, a recent survey by the German Chamber of Commerce in China found that many German businesses are becoming increasingly cautious about their investments in the country. This is due to concerns about China's economic slowdown, its strict COVID-19 policies, and its growing geopolitical assertiveness.
Germany's New China Strategy
In July 2023, Germany passed a long-awaited China strategy that aims to reduce its economic dependence on the country while also maintaining a dialogue on issues of common interest. The strategy calls for a more diversified approach to trade and investment, as well as a closer relationship with other countries in the Indo-Pacific region.
Germany's Changing Perception of China
Germany's perception of China has been changing in recent years. The country is no longer seen as an economic miracle but rather as a more assertive and competitive rival. This has led to a growing debate in Germany about how to deal with China in the future.
Comments