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China overtakes the US to become Germany's top trading partner on the eve of Merz's visit

China has overtaken the United States to become Germany's biggest trading partner again, according to official data, as German Chancellor Friedrich Merz prepares for his first visit to Beijing since taking office.

China has again become Germany's most important trading partner PHOTO Shutterstock

China has again become Germany's most important trading partner PHOTO Shutterstock

Merz will leave for China on Tuesday and will be received in Beijing on Wednesday with military honors by Chinese Premier Li Qiang. Afterwards, he will meet with President Xi Jinping for discussions that will continue at an official dinner, his spokesman, Sebastian Hille, announced.

Germany's Federal Statistical Office published data on Friday showing that China has returned to the top spot as the most important market for Germany, with trade worth 251 billion euros in 2025, up 2.2 percent from 2024, when the United States was the top destination for German exports, writes The Guardian.

Germany imported about 170.6 billion euros worth of goods from China in 2025, more than double its exports to the country, which amounted to 81.3 billion euros.

Trade with the United States totaled 240 billion euros, and the controversial tariffs imposed by US President Donald Trump could at least partly explain the 5% drop in bilateral trade.

Hille said that during the two-day visit to China, Merz will also visit the Forbidden City, the Chinese company Unitree Robotics, the German car manufacturer Mercedes-Benz and Siemens Energy, which specializes in turbines and energy solutions. It will also reach the eastern Chinese city of Hangzhou.

During the visit, Merz is expected to address several sensitive topics, including the war in Ukraine, human rights and trade relations.

The European Union is trying to curb China's industrial overcapacity, but tariffs introduced in 2024 on electric cars imported from China have had little impact on sales. In addition, Brussels is considering imposing new steel duties through market protection measures later this year.

The trade relationship between Germany and China is complex, especially because of the strong presence of German car companies in the Chinese market. Volkswagen has described China as a “second home market”, and BMW and Mercedes-Benz depend heavily on sales from the country for their economic performance.

The general manager of BMW, Oliver Zipse, is among the 30 representatives of the business environment who will accompany Merz on this trip. “Complex global challenges can only be solved through cooperation,” he said. “Through his visit to China, the Chancellor is sending a strong signal in favor of dialogue and collaboration.”

The European Union is seeking to reduce its dependence on China and has launched several initiatives to lessen its vulnerability as Beijing dominates supplies of rare earths, critical materials and essential refined minerals, including lithium needed for electric car batteries and permanent magnets used in a wide range of products from cars and refrigerators to military aircraft.

Germany's need to support the auto industry, one of the country's biggest employers, has made its stance on restrictions on Chinese imports less strident.

Germany voted against the European Union's decision to introduce tariffs on Chinese electric cars in 2024 and this month avoided European tariffs on imports of Volkswagen's China-made Cupra Tavascan in exchange for commitments to set a minimum price for the vehicle.



Ashley Davis

I’m Ashley Davis as an editor, I’m committed to upholding the highest standards of integrity and accuracy in every piece we publish. My work is driven by curiosity, a passion for truth, and a belief that journalism plays a crucial role in shaping public discourse. I strive to tell stories that not only inform but also inspire action and conversation.

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