The Federal Ministry of Economics apparently considers a Chinese invasion of Taiwan to be possible. This is one of the reasons why economic relations with Beijing should be restricted.
According to a media report, Federal Minister of Economics Robert Habeck (Greens) wants to achieve greater independence of the German economy from China. According to the report, officials at his ministry also expect China to annex Taiwan by 2027 at the latest, the 100th year of the founding of the People’s Liberation Army. The news portal “The Pioneer” reported on Thursday, citing a paper on the China strategy of the Federal Ministry of Economics.
Germany’s potential for blackmail is high given the economic ties. The minister plans to impose new reporting requirements on German companies with strong China business and to reduce political support for German-Chinese economic projects.
According to the paper, Germany’s dependence has increased in recent years. “As China reduces its dependency, China’s economic importance for the EU and Germany continues to increase.”
No more development loans to China
According to the strategy paper, one of the countermeasures proposed by the ministry is to focus on “alternative future markets such as Asia-Pacific, Latin America and Africa, as well as a new version of foreign trade promotion”. German investments in Chinese companies are to be examined more closely. From 2023 at the latest, no more development loans should be granted to China.
At the EU level, free trade agreements with the Asia-Pacific region would have to be promoted and our own processing and refining capacity would have to be built up in Europe, it said. The almost 100-page document has not yet been agreed in the federal government. According to “The Pioneer”, Habeck accepted it this week in a management round and promised a speedy implementation of the measures.
The Foreign Ministry also warns of China’s influence
The Foreign Ministry’s plans for a new German China strategy had already caused severe resentment in Beijing. According to a draft, dependence on China is to be reduced, human rights are to play a greater role and relations with Taiwan are to be expanded, as the magazines “Der Spiegel” and the “Handelsblatt” reported from the confidential paper. Germany describes China, like the EU, as a partner, competitor and systemic rival and states: “However, the latter two aspects are becoming increasingly important.”
Most recently, the planned entry of the Chinese state-owned company Cosco in the port of Hamburg fueled the debate about economic ties with China. Despite warnings and harsh criticism, the federal government gave the green light for Cosco to acquire a minority stake. Berlin, on the other hand, prohibited the participation of Chinese investors in two German manufacturers of microchips.