‘China has changed.’ Germany unveils strategy to cut reliance on world’s no. 2 economy

Germany announced Thursday that it would reduce its dependence on China in “critical sectors” including medicine, lithium batteries used in electric cars and elements essential to chipmaking.

The government published its first ever “Strategy on China,” a 40-page document that highlights the tightrope Berlin must walk in managing its dependence on the world’s second-largest economy amid growing criticism of Beijing’s human rights record and attitude towards international law.

China is Germany’s most important trading partner, with imports and exports between the two nations reaching nearly €300 billion ($335 billion) in 2022, according to the government.

Employees operate machines at a dust-free workshop of a semiconductor factory on March 1, 2023 in Siyang County, Suqian City, Jiangsu Province of China.