A Chinese trade group headed to Germany on Monday to discuss cooperation in the automotive space, where both sides have weighty advantages in the world but face steep terrain following US tariff threats, an anti-subsidy spat and a slump in Chinese export value.
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A delegation led by the semi-official China Council for the Promotion of International Trade set off for talks with top auto-industry players in Europe’s largest economy, according to a social media account affiliated with state broadcaster CCTV.
The visit coincides with Monday’s election results that tip conservative leader Friedrich Merz to become the German chancellor, with one analyst calling the meetings a chance to glean insights into Merz’s trade policy.
More broadly, the talks stand to improve trade relations between China, the home of electric vehicle (EV) brands such as BYD and Geely, and Germany, the source of BMW and Volkswagen cars.
Discussions would follow increased vigilance on both sides toward US import tariffs, analysts said.
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“In a world where US trade policy is so unpredictable and tariff risks are high, it does make sense for all other economies to increase cooperation and limit dependence on the US market,” said Lynn Song, chief economist for Greater China at Dutch financial services corporation ING.