Since the pandemic broke out, China has overtaken the US as Germany’s largest trading partner and has become the largest market for many of its businesses. German factories manufacture the necessary equipment which is the basis for the smooth and continuous operation of many Chinese manufacturing enterprises.
That is why German companies are still seeing expansion in their growth in China.
But the human rights situation in China, as well as the long-running turmoil in Hong Kong, are stifling both political and economic relations between Germany and China.
by Thanos S. Chonthrogiannis
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Many Europeans from both politics and human rights organisations are calling on Germany to take a tougher stance on human rights issues. Their demands are based on the authoritarian behaviour of the Chinese authorities in the violent repression of the democratic movement in Hong Kong and the detentions of up to one million Uighurs in Xinjiang.
China rejects criticism of Europeans as interference in its internal affairs.
What is now distinguished from everyone in the West is that Germany is constantly absorbing and dependent too much on China’s terrifying market thirst for German products when Germany is just as thirsty for exports.
This fact becomes a major thorn in U.S. policy, which has made China’s isolation a spearhead of American strategy.
Despite US objections on 30 December 2020, EU Commission in a teleconference with the Chinese government proceeded to conclude an initial investment agreement, ignoring US calls.
The aim of Germany and the EU in general was for German and, by extension, European companies to increase their share of exports to China. The fact that China’s economy quickly exited (Q12020) from the Covid-19 pandemic has led to a recovery in the Chinese economy helping Germany direct ever-increasing export volumes to China offsetting its declining sales to other parts of the globe. The most important market for growth is China.
Germany’s growing dependence on the Chinese economy is leading the German government to accept its participation in the us common geopolitical strategy that wants to divide the planet into different blocs of countries.
So, the fact that Germany is the locomotive of the European economy shows that its attitude will affect all 27 EU member countries.
The plans for Germany and the obstacles to the completion of its projects in support of China are since:
1. That the agreement with China (30 December 2020) should necessarily be approved by the European Parliament, where there are many formations of MEPs who react and will vote against it.
2. The pressure he will face at the G7 summit next June from the participants USA, France, Canada, U.K., Italy, Japan.
US President Joe Biden wants to strengthen this G7 institution so that it acts as a lever for pressure on states that deviate from the west-US common line.