Steinmeier urges balanced trade with China

German President Frank-Walter Steinmeier traveled to Beijing to address ongoing tensions in European and Chinese economic relations. He delivered a speech at Peking University on Thursday, outlining specific grievances regarding the current trade imbalance.

Steinmeier stated that while China's desire for economic self-sufficiency is understandable, it should not create a one-sided dependence for other markets. He noted that European companies often find themselves with little or no access to the Chinese market. In contrast, European markets receive large volumes of state-subsidized Chinese imports. He also cited Beijing's controls and limits on raw material exports as a source of vulnerability for Europe.

The European Union has described its widening trade deficit with China as unsustainable. Brussels warned last month that it would use every possible means to remedy the situation. Germany and France have proposed a new rapid-action measure for the EU to counteract harmful practices by other countries, with China likely to be the primary focus.

Steinmeier expressed confidence that dialogue could resolve these issues without leading to a new bloc confrontation. He warned that such a confrontation would endanger international security and result in an economic loss for all parties involved. He emphasized Europe's determination to maintain its industrial base.

The president is currently in China for a five-day visit that concludes on Saturday. He is scheduled to meet with Chinese President Xi Jinping on Friday to continue discussions on these economic and strategic matters.