German industry calls for more support to diversify beyond China

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One of Germany's main industry lobby groups called on Monday for more support for industry to diversify trade beyond China, as the government prepares new policies aimed at reducing the economy's dependence on Beijing.

Businesses faced an administrative burden from planned measures such as stress tests and greater scrutiny on investments in China, outlined in a"Everything we have heard so far about the German government's China strategy is extremely defensive," said Volker Treier, head of foreign trade at DIHK.

Asked about the draft document, the Chinese foreign ministry in Beijing told Reuters it hoped Germany would develop its relations in an "objective and rational manner", adopting a policy benefiting the people of both nations. Just four German companies - carmakers Mercedes-Benz, BMW and Volkswagen and the chemicals giant BASF - accounted for a third of all European investment in China in 2018-2021, according to aThe foreign ministry document, which still has to be agreed by other ministries, said key industries including autos and chemicals must avoid the risk to companies and the country of investing too heavily in China.

"We need an active and resilient industrial policy and strategy in Europe with regards to raw materials, batteries or semiconductors."spokesperson also declined to comment on the document's details but said the group was as heavily invested in Europe and the Americas as in China, and would "continue to pursue the goal of opening up new sales markets in the future".

 

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Agree.

Repeat the same old tunes: not to venture all one’s eggs in one basket.

Volkswagen is pushing for greater dependency with the argument that prosperity is not possible without China!!!

Then why are some major still considering relocating their manufacturing from Germany to China to use fossil fuel?

many same countries have sold their own national pride out to China, While the woke nations has remained cowardly quiet in order. Yet, China blackmail to whole world politicians would be more directive and assertiveness. World must unite remove all on Chinese trade MFN.

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