China in 25: Klingbeil in China + growing trade surplus + falling fixed asset investments

In this episode of “China in 25” Bernhard Bartsch, Mikko Huotari and Claudia Wessling talk about the visit of German finance minister and vice chancellor Lars Klingbeil to Beijing, China’s growing global trade surplus, and falling domestic fixed asset investments.

While the vice chancellor’s visit suggested a return to normalcy in times of turbulent international relations, Bernhard Bartsch warns not to forget that the dynamics the bilateral relations are currently undergoing a fundamental change. “We have seen how vulnerable we are, and China has shown us that it is also exploiting our vulnerabilities very harshly in political terms.”

Mikko Huotari says of the Chinese government's push for more imports from abroad: “It symbolizes openness, but it doesn't change the structural problems at all, because the causes of these weak imports remain untouched.”