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18 April 2024

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German trade deficit with China grows as Beijing relies less on European industry

09-08-2026 10:48 AM


Ammon News - Germany's trade deficit with China widened ‌in the first half of 2026, even as the Asian powerhouse remained its top trade partner, preliminary data from state-run agency Germany Trade & Invest (GTAI) showed on Sunday.

German exports to China fell over 12% year-on-year to just under €37 billion ​between January and June, the data showed, as Chinese firms cut reliance on European imports, ​making China only the ninth-biggest market for German goods.

As recently as 2021, China was ⁠the second-biggest export market. That year, Germany sold China merchandise worth €104 billion, despite the effects of ​the pandemic.

Now, German manufacturing is struggling with both U.S. tariffs and Chinese competition, triggering major job cuts ​at bulwarks of industry such as carmaker Volkswagen.

China, though, is selling more and more to Germany.

In the first half of last year, Germany ran a trade deficit of €40 billion with China. That had swelled to some €55 billion during the same ​period this year.

German imports from China rose 8.9% to €91.8 billion over the period. Total trade was over €128 ​billion, €3 billion more than with the United States.

Reuters




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