German President Frank-Walter Steinmeier used a speech at Peking University on 29 October to say that Germany and Europe have no wish to cut economic ties with China, while pressing Beijing to adjust its economic policies on trade imbalances, market access and the supply of critical raw materials. According to 观察者网, which reported the address, Steinmeier said Europe welcomes China's development but wants a commercial relationship that is fairer and mutually beneficial. He added that Europe does not want to lose its own industrial base and cannot accept becoming dependent on China in one direction only.
The visit, reported by Reuters and German broadcaster Tagesschau among others, placed the German head of state at one of China's most prominent universities at a moment when Berlin's China policy is under strain. Steinmeier's remarks, as relayed in the coverage, set two ideas side by side: a rejection of a return to bloc confrontation, and a call for change in how China conducts its economic policy toward Europe.
Why it matters
The speech captures a contradiction at the centre of Germany's approach to China. German industry remains deeply tied to the Chinese market and to supply chains that run through it. At the same time, as Chinese manufacturers have grown more competitive, calls inside Germany for protecting domestic industry have become louder. Steinmeier's address reflects that tension rather than resolving it, and it comes as the European Union weighs how hard to push back on a trade relationship it sees as increasingly lopsided.
It also matters because of who was speaking. The German president holds a largely representative and ceremonial role and does not direct the government's economic policy. His words therefore signal the mood in German political circles toward Europe-China relations more than they preview specific measures, which remain in the hands of the federal government and EU institutions.
Competition, dependence and a widening deficit
According to the reporting, Steinmeier's concerns extend beyond trade balances. In recent years, Chinese electric vehicles, machinery and other industrial goods have taken a larger share of international markets, adding competitive pressure on German firms. Berlin and Brussels have grown more focused on Europe's reliance on China for critical raw materials and certain intermediate products.
Reuters, as cited in the coverage, noted that the EU now regards its growing trade deficit with China as unsustainable and has warned that further measures could follow. Germany and France have proposed that the EU create a new rapid-response instrument to deal with external economic conduct judged to harm European interests.
The German chancellor, Friedrich Merz, addressed the same theme a day earlier. Reuters reported on 28 October that Merz said Europe is not seeking a full economic break with China, but that Europe and Asia need to reduce what he called unhealthy one-sided dependencies. He stressed that Europe does not want a trade war with China while insisting it must defend its industrial interests.
China's foreign ministry spokesperson Guo Jiakun responded to Merz's comments on 28 October, according to the coverage. Guo said Beijing is willing to work with all parties to keep global industrial and supply chains stable and open, and expressed the hope that Germany and the EU would take an objective and rational view, treat China as a reliable partner and handle differences through dialogue and consultation.
Beyond trade: security, shipping and energy
Steinmeier also linked the economic discussion to wider geopolitical strain. He said the war in Ukraine and the conflict in the Middle East affect not only European security but also international trade, energy supply and the global economy. As major trading nations, he argued, countries including China depend on open sea lanes, dependable supply chains and secure energy.
The visit included more than the speech. 凤凰网 reported that Steinmeier toured the Chinese Academy of Sciences, where he said China's achievements in scientific and technological innovation had made a strong impression on him. 观察者网 also reported that he played table tennis with the president of Peking University during the trip.
For Germany, China is simultaneously an essential economic partner and a competitor its industrial companies cannot avoid. Finding a balance between guarding domestic industry and sustaining cooperation with Beijing is a question that will occupy Germany and the rest of Europe well beyond this visit.
What to watch next is whether the EU moves ahead with the rapid-response tool proposed by Berlin and Paris, and how Beijing responds if it does.
