The Tamesis
March 2, 2026
Brussels/London ——German Chancellor Merz concluded his first visit to China since taking office in May and returned with a delegation of about 30 entrepreneurs. This visit and the agreement reached between Beijing and Berlin aroused heated discussions among German scholars, entrepreneurs and other observers.
Michael Boschmann, former director of the International Affairs Bureau of the German state of Hesse, said that the size and composition of the large delegation clearly demonstrated “the strong desire of the German business community to cooperate with China.” “In today’s turbulent world, China is Germany’s ideal partner. Cooperation between the two countries is likely to become even closer because we need each other.”
Among the agreements reached by the two parties, the most watched one is the “Joint Statement on Continuing Bilateral Dialogue on Green Transformation and Climate Change.”
Belinda Schape, a German-born China analyst at the Center for Energy and Clean Air Research, a Helsinki think tank, said: “At a time of rising trade tensions, climate change and the energy transition remain core pillars of Germany-China relations, as Merz’s first official visit to Beijing shows.”
“It is vital that climate and clean energy are not marginalized,” Schaap said. “China and Germany reaffirmed their commitment to continued climate cooperation and agreed to continue the bilateral ‘Dialogue on Climate Change and Green Transition’, emphasizing that climate action serves as a stable platform for cooperation even amid broader tensions.”
Schapp emphasized that President Xi Jinping’s speech highly aligned Germany’s new technology and innovation strategy (including digitalization and green development) with China’s “15th Five-Year Plan” (2026-30). She believed that the strategy emphasized the space for mutually reinforcing innovation paths in areas such as clean technology and advanced energy systems.
“Both leaders agreed on the need to channel competition and cooperation constructively, seeking win-win approaches that support resilient supply chains and continued engagement in cutting-edge technologies. This is not an easy task in practice, but this high-level engagement can pave the way for finding constructive solutions for the future.”
Volker Friedrich, CEO and chairman of GBP International, a Berlin-based management consulting firm, said: “Mertz’s trip to China shows that China still has a systemic impact on German industry as a market, production center and increasingly an innovation partner. Complete decoupling is neither realistic nor strategically sensible.”
“For decades, Germany benefited greatly from large-scale exports to China. When the trade balance was in our favor, few complained. Now, as Chinese companies compete globally and in Europe, the tone has changed. The competition is not unfair just because it has become more intense,” he added.
Meanwhile, the CEO of Sterling International said participation must continue to evolve. “What businesses need today is structured, mutually beneficial cooperation: fair market access, regulatory transparency and a level playing field.”
For German SMEs in particular, he said, “the path forward is clear: diversify where necessary and become more resilient, but remain engaged”.
On February 25, Premier Li Qiang and Merz co-chaired a symposium of the Sino-German Economic Advisory Committee, attended by more than 60 business leaders from both countries.
These include high-end smart electric vehicle manufacturer NIO, whose European branch vice president Zhang Hui said: “As a bilateral mechanism under the consultation framework, the Sino-German Economic Advisory Committee provides an important platform for structured dialogue between policymakers and the business community.”
It is hoped that enterprises from both countries will continue to make constructive contributions to Sino-German economic cooperation and support sustainable and high-quality development through open innovation.
Simone Hall, a German writer who frequently visits China, particularly emphasized President Xi’s guiding ideology that the two sides should deepen exchanges and learn from each other.
“For foreigners, the encounter with China is always different from what they imagined – pulsating, colorful, and full of power. For me, it always brings happiness, and similar things must have happened to Merz,” Harley said.
“China and Germany have more in common than most people think. In times like these, goodwill must come first. On this basis, conflicts can be mitigated,” the author added.
