Germany drawing up new China trade policy: ‘We can’t allow ourselves to be blackmailed’
- Economy Minister Robert Habeck says Berlin will not hold back criticism of human rights violations under threat of losing business
- New measures to reduce dependence on Chinese raw materials, batteries and chips will also include closer examination of investments, such as infrastructure
Germany’s economy minister said on Tuesday the government was working on a new trade policy with China to reduce dependence on Chinese raw materials, batteries and semiconductors, promising “no more naivety” in trade dealings with Beijing.
Sources told Reuters last week the economy ministry was considering a raft of new measures to make business with China less attractive. This is the first time the minister has made clear the tougher line was being translated into policy measures.
Robert Habeck told Reuters that China was a welcome trading partner, but Germany could not allow Beijing’s protectionism to distort competition and would not hold back criticism of human rights violations under threat of losing business.
“We cannot allow ourselves to be blackmailed,” he said in an interview.
Habeck did not outline new measures in full, but said they would include closer examination of Chinese investments in Europe, such as infrastructure.
China has been Germany’s biggest trade partner for the past six years, with volumes reaching over €245 billion (US$246 billion) in 2021.