He travelled with more than 30 senior executives from Volkswagen, BMW, Siemens and Airbus. The trip marked his first to China since taking office in May 2025 and came amid strain in transatlantic trade relations, News.Az reports, citing foreign media.
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Merz met Premier Li Qiang at the Great Hall of the People before holding talks with President Xi Jinping. The sides signed agreements on climate cooperation and food security. Airbus secured an order for 120 aircraft, according to officials briefed on the discussions. German business leaders attended a state banquet and joined meetings centred on market access and supply chains.
Germany’s trade deficit with China has widened. Chinese exports to Germany stand at roughly twice the value of German exports to China, according to federal data. Merz addressed the imbalance during talks. “We want fair competition and reciprocal access,” he said during a joint appearance, according to German officials present.
Li said China welcomed German investment and opposed protectionism. “China supports open cooperation and rejects decoupling,” he said in remarks released by state media. Xi told Merz that both countries should “enhance mutual trust” and manage differences through dialogue, according to a foreign ministry statement.
The visit unfolded against tariff tensions between the United States and major trading partners. Washington has signalled further measures in sectors linked to electric vehicles and advanced technology. Beijing has criticised what it calls containment. Berlin faces pressure from industry groups to stabilise ties with China while reducing exposure in sensitive sectors.
Merz rejected full economic separation from China but pressed Beijing on subsidies, currency valuation and access to raw materials. He raised the war in Ukraine and urged China to use its influence with Moscow to support a ceasefire. After the meetings, both governments issued a statement backing efforts toward a political settlement and affirming support for Ukraine’s territorial integrity.
Taiwan featured in the discussions. German officials said Merz stressed the need for peace and stability in the Taiwan Strait. Chinese officials reiterated their position that Taiwan is an internal matter and repeated calls for peaceful reunification.
On the second day, Merz travelled to Hangzhou, home to technology groups including Alibaba and DeepSeek. He met company executives and visited a robotics laboratory. Members of the German delegation explored partnerships in electric mobility, digital services and green technology.
The visit forms part of a wider pattern of European engagement with Beijing. Finnish Prime Minister Petteri Orpotravelled to China earlier this year with a delegation focused on clean energy and timber exports. Orpo said Finland sought to “maintain open channels with China while safeguarding European interests”.
British Prime Minister Keir Starmer visited China in recent months and met Xi in Shanghai. The two sides signed agreements covering financial services and education exchanges. Starmer told reporters that Britain would pursue “serious engagement where it serves our national interest”. Downing Street said the government would continue to raise security concerns.
French President Emmanuel Macron travelled to Beijing last year and called for European strategic autonomy. He urged the European Union to avoid dependence on either Washington or Beijing. His remarks added momentum to debate within the bloc over defence, trade and industrial policy.
China remains Germany’s largest trading partner in goods. Bilateral trade exceeded 250 billion euros in 2025, according to German statistics. German carmakers derive a large share of global sales from the Chinese market. At the same time, the European Commission has launched investigations into Chinese electric vehicle subsidies and imposed provisional duties on selected imports.
European officials describe their approach as de risking rather than decoupling. The strategy seeks to reduce reliance in critical sectors while sustaining commercial ties. Brussels has advanced trade talks with India, Indonesia and countries in Latin America as part of a broader diversification drive.
The renewed diplomatic activity reflects shifts in the international system. European governments have signalled a desire to act with greater independence as relations with the United States face strain over trade policy, defence spending and industrial subsidies. Leaders across the continent have increased direct engagement with Beijing while maintaining security commitments through NATO.
Merz concluded his visit on 26 February and returned to Berlin with members of his cabinet and business delegation. German officials described the talks as constructive and said working groups would follow up on trade issues and climate cooperation.
The exchanges between European capitals and Beijing mark a phase of recalibration in global affairs as power centres diversify and alliances adjust.
