For how long will Germany be important to China?
Growing economic interdependence between China and Germany was confirmed during the visit of the Chinese premier Li Keqiang to Germany’s Merkel. While the trade balance is favorable to China the volume is considerable. Germany exports to China reached €66.6bn in imports from China amounted to €77.3bn. And the mutual interests of the two countries in keeping trade routes open was shown by the distance that Germany took in E.U.’s Commission proposal to impose taxes on Chinese solar panel products. Despite the losses incurred by German companies in this field Chinese market is very important for German Industry. However, the general principle applied in Sino-German relations where Technology was exchanged for market share is being challenged by the mere evolution of china’s capacities in the Industrial sector. The article refers to a study that shows how swallow is the advance that German excellence benefits today. Goldman Sachs predicted that next sectors to experience tougher Chinese competition would include low-end power transmission technology, high-speed rail, wind power generation and smart grid technology. These are areas where German industry typically excels.Is parity just a question of time?