Germany Releases First China Strategy, Condemning Human Rights Violations but Softening Stance on Economic Measures
Germany has released its first China strategy, which accuses Beijing of "grave violations of human rights" but takes a softer line on economic measures like investment bans.
The 64-page document, which can be read in German and English, calls China an indispensable partner but also a rival and competitor.
Foreign Minister Annalena Baerbock presented the strategy at the MERICS China think tank in Berlin, where she emphasized the need to protect the European economy against unfair competition from China.
The document warns that China strives to create economic and technological dependencies in order to achieve political goals and interests.
The document had been eagerly awaited by politicians and businesses across Europe and beyond, who were keen to see how the EU's biggest economy is repositioning itself in relation to the economically important but increasingly assertive China.
While Baerbock's hawkish foreign ministry drafted a toughly worded first version late last year, the final version was softened, particularly regarding investments by German companies in China.
This reflects Social Democratic Chancellor Olaf Scholz's more moderate line toward Beijing, who has called for Germany to “de-risk” its economic dependency on China but argued that this was a task primarily for companies.
The strategy no longer includes earlier proposals to introduce a “reporting obligation” and “stress tests” for companies that are particularly exposed to China.
Instead, the final document says that the government will seek to “raise awareness” and “intensify exchanges” but “expects” that companies manage risk by themselves.
Whether the majority of German companies, which invested a new record sum of €11.5 billion in China last year, will really do so on their own is questionable.
The strategy is clear that an EU investment agreement with China, which had been pushed forward by former Chancellor Angela Merkel but has been put on ice for the past two years, “cannot take place at present for various reasons.” On Taiwan, the text stresses that "any change to the status quo in the Taiwan Strait can only happen peacefully and with mutual agreement." The strategy is toughest on human rights, lambasting Beijing over
Foreign Minister Annalena Baerbock presented the strategy at the MERICS China think tank in Berlin, where she emphasized the need to protect the European economy against unfair competition from China.
The document warns that China strives to create economic and technological dependencies in order to achieve political goals and interests.
The document had been eagerly awaited by politicians and businesses across Europe and beyond, who were keen to see how the EU's biggest economy is repositioning itself in relation to the economically important but increasingly assertive China.
While Baerbock's hawkish foreign ministry drafted a toughly worded first version late last year, the final version was softened, particularly regarding investments by German companies in China.
This reflects Social Democratic Chancellor Olaf Scholz's more moderate line toward Beijing, who has called for Germany to “de-risk” its economic dependency on China but argued that this was a task primarily for companies.
The strategy no longer includes earlier proposals to introduce a “reporting obligation” and “stress tests” for companies that are particularly exposed to China.
Instead, the final document says that the government will seek to “raise awareness” and “intensify exchanges” but “expects” that companies manage risk by themselves.
Whether the majority of German companies, which invested a new record sum of €11.5 billion in China last year, will really do so on their own is questionable.
The strategy is clear that an EU investment agreement with China, which had been pushed forward by former Chancellor Angela Merkel but has been put on ice for the past two years, “cannot take place at present for various reasons.” On Taiwan, the text stresses that "any change to the status quo in the Taiwan Strait can only happen peacefully and with mutual agreement." The strategy is toughest on human rights, lambasting Beijing over
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