German investment in China eases in H1 after record high

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Investment saw a year-on-year drop from €12 billion to €10.31 billion following rising security concerns.

Data reveals that German firms continue to invest heavily in China despite government calls to minimise exposure.

However, that was still nearly twice as much as the €5.5 billion invested in 2019, before the coronavirus pandemic hit. It was also more than twice the €4 billion invested on average in the first half of the year over the previous decade. As a result, investment in China as a share of Germany’s overall investments actually increased to 16.4% in the first half from 11.6% last year and 5.1% in 2019, the IW said.

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