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Germany’s Merz Heads to China to Strengthen Trade Ties

German Chancellor Friedrich Merz will make his first official visit to China next week, arriving shortly after the Chinese New Year celebrations. This high-stakes trip signals a significant effort to stabilize economic relations between Berlin and Beijing during a period of intense global competition.

The Chancellor announced the diplomatic mission during a speech at the CDU party congress in Stuttgart on Friday morning. “May the Year of the Horse bring strength and give new impetus to German-Chinese relations,” Merz wrote on social media.

Furthermore, he confirmed that a large business delegation would accompany him to explore new investment opportunities across the Asian superpower. He argued that foreign policy and economic policy are now inseparable in the modern, rapidly emerging international global order.

Balancing Competition and Cooperation

Merz will meet Premier Li Qiang and Chinese leader Xi Jinping on Wednesday to discuss the right balance of cooperation. A government spokesperson emphasized that the two-day visit will focus heavily on competition within the critical automotive and energy sectors.

Consequently, the Chancellor will visit the Forbidden City alongside major corporate facilities belonging to Mercedes-Benz and the tech firm Unitree. “We need economic relations with the entire world, and that, of course, includes a country like China,” Merz stated.

China recently reclaimed its position as Germany’s largest trading partner, with total trade volume reaching 251.8 billion euros last year. However, Merz acknowledged that Beijing is deliberately distancing itself from the United States to define a new multilateral world order.

He noted that the traditional rules-based system no longer exists, requiring Europe to bolster its own economic and military capabilities. Merz insists that Germany must pursue new trade partnerships while remaining cautious about overreliance on any single foreign market.

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