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April 16, 2024

Why is Scholz in China?

German Chancellor Olaf Scholz is wrapping up athree-day trip to China todaywith a meeting with Chinese leader Xi and  Premier Li Qiang in Beijing. 

Scholz has been traveling with top executives from Germany as he seeks to strike a balance in relations with China. German companies have been pressing for what they characterise as fairer access to the Chinese market. Europe has been worried about a glut of Chinese goods flooding the European market.

Scholz's visit comes after Berlin drew up a China strategy last yearthat aims to reduce economic exposure to the Asian powerhouse. The strategy has been vague on specific measures or binding targets, but Scholz has already raised the issue of fair competition while speaking with students at Tongji University in Shanghai on Monday.

He said Chinese cars were welcome on the German market so long as competition was "fair." "In other words, that there is no dumping, that there is no overproduction, that copyrights are not infringed," Scholz told students.

He called for China to establish a level playing field for trade. The German government and German businesses are also wary of any potential future conflict over Taiwan.

rc/rm (Reuters, AP, AFP)

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