German Chancellor Friedrich Merz arrived in Beijing for his inaugural official visit, facing immense pressure to address a staggering trade imbalance. National statistics for 2025 reveal that German imports from China surged to €170.6 billion, while German exports plummeted to €81.3 billion. Merz, accompanied by a high-powered business delegation, stated his goal is a partnership that is “balanced, reliable, and fair,” explicitly rejecting the idea of “decoupling” in favor of a “de-risking” strategy.
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The visit comes as the “China shock” hits the core of German industry. Sectors like automotive, machinery, and chemicals are struggling against a wave of cheap Chinese goods fueled by massive state subsidies and manufacturing overcapacity. While Beijing maintains its policies are transparent, German economic institutes warn that these distortions are eroding Europe’s industrial base. Merz’s challenge is further complicated by the global trade environment, as Europe seeks to avoid a “two-front trade war” while simultaneously navigating Donald Trump’s aggressive tariff policies in the United States.
German Chancellor Friedrich Merz Arrives in Beijing for First Official Visit
• Merz lands in Beijing on Wednesday for inaugural trip as chancellor.
• Meets Xi Jinping to push fair trade, deeper ties, and de-risking.
• Talks cover China-Russia relations, Ukraine war, raw… pic.twitter.com/lz4hgsg8rQ— The Unbiased Update (@unbiased_update) February 25, 2026
Beyond economics, Merz is expected to urge Chinese leaders to use their influence with Moscow to help resolve the conflict in Ukraine. However, with China supplanting the U.S. as Germany’s top trade partner in 2025, the Chancellor must balance geopolitical pressure with the reality of deep economic interdependencies. Business groups are calling for firm action on export controls for rare earths and a restoration of fair competition to protect the stuttering “engine of Europe.”
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