Germany Intensifies Efforts to Reduce Dependence on Chinese Supply Chains
German lawmakers are escalating initiatives to decouple from Chinese supply chains, marking a departure from earlier broad policy suggestions. A newly formed committee, comprising business groups, labor representatives, and policy experts, will deliver specific legislative recommendations to the government. The panel will scrutinize energy supplies, raw material imports, and Chinese investments in critical German infrastructure.
The timing coincides with German Finance Minister Lars Klingbeil's upcoming visit to China, where he will address EU concerns. Germany finds itself caught between U.S. trade pressures and Chinese export restrictions, amplifying vulnerabilities in key sectors. "China can and will turn off the tap in critical areas; we remain far too vulnerable," noted Juergen Matthes of the German Economic Institute IW.
