Chinese President Xi Jinping and German Chancellor Friedrich Merz agreed on Wednesday in Beijing to strengthen economic cooperation while addressing trade imbalances, market access concerns, and the war in Ukraine, during Merz’s first official visit to China since taking office.
Merz, who is on a three-day visit, held talks with Xi at the Diaoyutai State Guesthouse, where the Chinese president said China and Germany should be “reliable partners” and defenders of free trade, urging stronger strategic communication between the two of the world’s largest economies.
He added that China supports Europe’s self-reliance and hopes Europe will work with Beijing in the same direction to uphold their strategic partnership.
Merz said he wanted to deepen Germany’s decades-long economic relationship with China, its largest trading partner last year, while acknowledging challenges. “There are challenges, which we should talk about today, but the framework in which we operate is exceptionally good,” he said.
Ukraine featured prominently in the discussions. Merz called on Beijing to use its influence to help bring an end to the war, noting that signals from China are taken seriously in Moscow. Xi said China supports a political solution through dialogue and negotiation, stressing that any process must address the legitimate concerns of all parties and ensure equal participation.
In a joint statement, both countries expressed support for efforts toward a ceasefire and lasting peace in line with the United Nations Charter. Merz also raised Taiwan, emphasizing that any reunification must be achieved peacefully.
Trade imbalance and market access
Economic tensions were central to the visit. Germany recorded a trade deficit of 90 billion euros with China last year, a figure that has increased fourfold since 2020. German imports from China rose 8.8 percent to 170.6 billion euros, while exports to China fell 9.7 percent to 81.3 billion euros.
Merz described the imbalance as unhealthy and called for fair competition, improved market access, and reduced market distortions. Earlier, in talks with Chinese Premier Li Qiang at the Great Hall of the People, Merz emphasised the need to maintain intensive economic exchanges while ensuring fair cooperation and open communication. “We have very specific concerns regarding our cooperation, which we want to improve and make fair,” he said.
Li called on both sides to safeguard multilateralism and free trade, in remarks widely seen as referencing tariff disruptions introduced by U.S. President Donald Trump. “China and Germany, as two of the world’s largest economies and major countries with important influence, should strengthen our confidence in cooperation, jointly safeguard multilateralism and free trade, and strive to build a more just and fair global governance system,” Li said.
The German chancellor was accompanied by a delegation of 30 firms, including major automakers such as Volkswagen and BMW, which have felt increasing pressure from Chinese competition. The delegation’s visit underscores Berlin’s priority of addressing the trade imbalance and ensuring fair economic practices while maintaining engagement with China’s vast consumer market and advanced manufacturing base.
Several agreements and memorandums were signed during the visit, including on climate change and food security. Merz highlighted that China had agreed to purchase up to 120 aircraft from Airbus, describing the deal as evidence that engagement can deliver concrete economic results.
China’s state media framed the visit as an opportunity to strengthen European Union-China cooperation and stabilise global trade amid U.S. tariffs. Xinhua cited a German chamber of commerce survey suggesting innovation gains in China benefit German headquarters, while the Global Times noted that concerns over competition could be outweighed by access to China’s market.
Merz stressed that systemic differences should not prevent collaboration on trade, technology, or global challenges, reaffirming Germany’s preference for dialogue over public criticism. “This visit is about ensuring fair cooperation, managing risks, and exploring shared opportunities,” he said, signalling Berlin’s intent to engage pragmatically with China while safeguarding German economic interests.
A Kyiv-Warsaw train was struck near the Polish border, Ukraine's state railway firm said on Sunday. No passengers were injured. Ukrai...
Maritime trackers received new reports of an attack on a ship in the Strait of Hormuz on Sunday, according to the ...
Indonesian rescuers are searching for 130 people after a passenger ship carrying 243 people sank in the Java Sea following bad weather, while 113 p...
Iranian President Masoud Pezeshkian arrived in New Delhi on Friday to attend the weekend BRICS summit, amid the ongoing U.S.-Iran conflict, joining a host of foreign dignitaries.
Saudi Arabia has temporarily shut down its 1,200-kilometre East-West oil pipeline after it was hit by a drone attack, with Riyadh and Baghdad saying the strike originated from Iraq.
Mexico and the U.S. are racing to secure a trade deal before the U.S. midterm elections in less than eight weeks, according to six sources familiar with the talks, with failed negotiations between Washington and Canada adding urgency.
Dubai’s property market has spent years climbing. Now, for the first time since 2021, prices are moving in the opposite direction.
Maritime trackers received new reports of an attack on a ship in the Strait of Hormuz on Sunday, according to the UK Maritime Trade Operations (UKMTO), adding to concerns about energy supplies after Saudi Arabia shut down a vital oil pipeline on Saturday.
A Kyiv-Warsaw train was struck near the Polish border, Ukraine's state railway firm said on Sunday. No passengers were injured. Ukrainian Railways said that the country's railways were facing systematic attacks for a second day and warned of widespread delays.
Indonesian rescuers are searching for 130 people after a passenger ship carrying 243 people sank in the Java Sea following bad weather, while 113 people have been evacuated and six have died, the country’s search and rescue agency said on Sunday.
China will lead the creation of an open source platform among BRICS members to promote cooperation on large language models, Chinese President Xi Jinping said on Sunday.
Swedes vote in an election on Sunday (13 September) that could see the far-right enter government for the first time if the country's right-wing parties can form a majority.
Philippine rescuers recovered 41 more charred remains from a ferry fire on Saturday (12 September), taking the death toll to 76, while 13 people remained unaccounted for as forensic teams worked to identify the victims.
You can download the AnewZ application from Play Store and the App Store.
What is your opinion on this topic?
Leave the first comment