German industry urges Merz to tighten China trade policies
Global Banking & Finance Review
German industry leaders and trade groups are pressing Chancellor Friedrich Merz to take tougher action on Chinese competition, citing an OECD finding that Chinese manufacturers receive three to eight times more state support relative to revenue and that subsidies accounted for nearly 60% of global market-share gains. Germany's trade deficit with China widened by about €22 billion to €89.3 billion as imports rose 8.8% and exports fell 9.7%. Automakers including Volkswagen face rising competition from firms such as BYD, while the BDI and DIHK call for faster use of safeguards and procedural changes ahead of EU-China talks in October.
German industry seeks faster EU trade tools against Chinese competition
Context
German businesses long resisted trade barriers. New data on subsidies and a larger trade deficit have increased pressure. Germany may back EU measures if October talks fail.
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