German government spokesperson says on next week's visit of Chancellor Merz to China: We want cooperation where it is necessary and is in interest of both sides

Friday, Feb 20, 2026 5:35 am ET1min read

German government spokesperson says on next week's visit of Chancellor Merz to China: We want cooperation where it is necessary and is in interest of both sides

Germany Seeks Strategic Partnerships with China Amid U.S. Tariff Tensions

German Chancellor Friedrich Merz announced plans to pursue "strategic partnerships" with China during his upcoming visit, emphasizing cooperation where it aligns with mutual interests and addresses shared challenges. The move comes as the U.S. imposes tariffs under President Donald Trump's trade policies, straining transatlantic relations and threatening Germany's export-dependent economy. Merz stated that while Germany respects U.S. policy choices, it will not align with measures it deems harmful to European interests, including excessive tariffs.

The chancellor highlighted the interconnectedness of foreign and economic policy, noting that Europe must balance cooperation with China—its largest trading partner in goods—while mitigating risks. Germany's 2023 China strategy, which prioritizes "de-risking" without full decoupling, reflects this dual approach, aiming to reduce dependencies in critical sectors while preserving dialogue. This aligns with broader European Union efforts to strengthen industrial resilience amid China's growing technological competition and geopolitical assertiveness.

Economic ties remain central. Despite a structural trade deficit—Germany's $77 billion import surplus with China in 2024— Berlin seeks to deepen collaboration in areas like green technology and supply chain diversification. However, sectors such as automotive and machinery face headwinds as Chinese electric vehicle (EV) producers gain global market share. Merz's government has criticized U.S. tariff policies for exacerbating trade tensions, warning that retaliatory measures could further destabilize European industries.

The visit underscores Germany's balancing act: navigating U.S. pressure while safeguarding economic interests in China. Merz emphasized that Europe's unity and strategic cohesion will be key to defending its interests, should tensions escalate. As Germany recalibrates its China policy from "win-win" engagement to managed competition, the outcome of Merz's trip will signal the trajectory of one of the world's most complex economic relationships.

(https://www.reuters.com/world/china/germany-will-seek-strategic-partnerships-with-china-amid-us-tariffs-merz-says-2026-02-18/): Reuters, Politico
(https://www.politico.eu/article/friedrich-merz-german-chancellor-warns-us-donald-trump-tariff-war-china-cooperation/): Reuters, Politico
(https://www.reuters.com/world/china/germany-will-seek-strategic-partnerships-with-china-amid-us-tariffs-merz-says-2026-02-18/): Atlantic Council

German government spokesperson says on next week's visit of Chancellor Merz to China: We want cooperation where it is necessary and is in interest of both sides

Stay ahead of the market.

Get curated U.S. market news, insights and key dates delivered to your inbox.

Comments



Add a public comment...
No comments

No comments yet