German Chancellor Friedrich Merz arrived in Beijing on 24 February for a two-day visit focused on trade, Ukraine, and shifting global power balances. The trip, his first to China since assuming office in May 2025, brought over 30 senior executives from Volkswagen, BMW, Siemens, and Airbus. Analysts view the mission as a signal of Germany’s intent to strengthen commercial ties with China even as transatlantic trade relations face tension.
Merz met Premier Li Qiang at the Great Hall of the People, followed by talks with President Xi Jinping. The discussions resulted in agreements on climate collaboration and food security. Airbus secured an order for 120 aircraft, officials briefed on the talks confirmed. The German business delegation participated in a state banquet and engaged in meetings that concentrated on market access, supply chains, and investment frameworks.
Germany’s trade imbalance with China has been a persistent challenge. Federal statistics indicate that Chinese exports to Germany are roughly twice the value of German exports to China. During the joint appearance with Li, Merz addressed the disparity directly. “We want fair competition and reciprocal access,” he said, emphasizing the need for structural adjustments to balance trade flows.
Li welcomed German investment and criticized protectionist tendencies. “China supports open cooperation and rejects decoupling,” he said in remarks released by state media. Xi stressed the importance of managing differences through dialogue and enhancing mutual trust, according to a statement from China’s foreign ministry.
Merz’s visit unfolded amid heightened tensions between the United States and major trading partners. Washington has indicated potential tariffs in sectors related to electric vehicles and advanced technology, which Beijing has denounced as containment measures. German industry groups have urged Berlin to stabilize economic ties with China while reducing vulnerability in sensitive sectors.
Merz avoided advocating for full economic separation from China but pressed Beijing on issues including subsidies, currency valuation, and access to critical raw materials. The war in Ukraine formed a significant part of the agenda. Merz called on China to leverage its influence with Moscow to support a ceasefire. Both governments subsequently issued a joint statement affirming support for Ukraine’s territorial integrity and backing diplomatic efforts toward a political settlement.
Taiwan was also discussed. German officials noted that Merz emphasized peace and stability in the Taiwan Strait. Chinese representatives reiterated that Taiwan is an internal matter and reiterated calls for peaceful reunification.
On the second day, Merz traveled to Hangzhou, a hub for technology firms including Alibaba and DeepSeek. He met company executives and toured a robotics laboratory. Discussions with German business leaders focused on collaboration in electric mobility, digital services, and green technology, signaling a strategic alignment between industrial priorities in Germany and technological ambitions in China.
Merz’s visit is part of a broader European pattern of engagement with Beijing. Finnish Prime Minister Petteri Orpo visited China earlier this year with a delegation focused on clean energy and timber exports. Orpo described Finland’s approach as maintaining open channels while safeguarding national and European interests.
British Prime Minister Keir Starmer has recently met Xi in Shanghai, concluding agreements on financial services and educational exchanges. Starmer emphasized engagement when it aligns with national interest while continuing to raise security concerns.
French President Emmanuel Macron traveled to Beijing last year, advocating for European strategic autonomy and urging the EU to avoid overreliance on either Washington or Beijing. Macron’s stance has intensified debates within the bloc on defence, trade, and industrial policy.
China remains Germany’s largest trading partner in goods, with bilateral trade surpassing 250 billion euros in 2025. German carmakers derive a substantial portion of global sales from China. At the same time, the European Commission has initiated investigations into Chinese subsidies for electric vehicles and imposed provisional duties on certain imports.
European officials describe their approach as de-risking rather than decoupling. The strategy aims to reduce reliance in critical sectors while maintaining commercial engagement. Brussels has pursued trade diversification with India, Indonesia, and Latin American countries, seeking resilience in global supply chains.
Renewed diplomatic activity reflects shifts in the international system. European governments have signaled a desire for greater autonomy in foreign policy as strains grow with the United States over trade, defence spending, and industrial subsidies. Leaders across the continent have intensified direct engagement with Beijing while upholding security commitments through NATO.
Merz concluded his visit on 26 February, returning to Berlin with cabinet members and business leaders. German officials described the discussions as constructive and indicated that follow-up working groups would address trade and climate cooperation. Observers suggest the visit marks a phase of strategic recalibration in Europe, reflecting broader realignments in global power structures and alliances.
