German companies operating in China are cautiously optimistic about the tariff dispute between China and the US. According to the German Chamber of Commerce in China, China’s largely mild counter-tariffs on American imports are being met with relief. Conflicts between China and the US, Germany’s main trading partners, are also potentially dangerous for German business in China. This was already evident in the fall of 2024, when around one-third of German companies in China stated that they were severely affected by tensions between China and the US.
Tensions are also noticeable in the latest business climate survey by the German Chamber of Commerce in China. In it, 31 percent of companies stated they felt a „strong impact“ from the tensions between China and the US. 47 percent spoke of „some impact,“ while only 22 percent said they felt no impact on their business.
At the beginning of his second term in office, US President Donald Trump imposed 10 tariffs on all Chinese imports. In return, China demands 15 percent tariffs on American coal and liquefied natural gas imports. The Department of Commerce has also introduced export controls on metals, which are particularly important for the electronics industry. However, Trump and Xi Jinping are currently both willing to negotiate. ek