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       Germany’s Leader Walks a Fine Line in China

       Chancellor Olaf Scholz tried to promote German business interests while delivering warnings from Europe about trade and geopolitical tensions.

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       Chancellor Olaf Scholz of Germany with Xi Jinping, China’s leader, in Beijing on Tuesday.Credit...Michael Kappeler/dpa/Picture Alliance, via Agence France-Presse — Getty Images

       By Alexandra Stevenson and Melissa Eddy

       April 16, 2024Updated 12:50 p.m. ET

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       Chancellor Olaf Scholz of Germany tried to strike a delicate balance on a trip to China this week, promoting business ties with his country’s biggest trading partner while raising concerns over its surge of exports to Europe and its support for Russia.

       Mr. Scholz met with China’s top leader, Xi Jinping, at the Diaoyutai State Guesthouse in Beijing on Tuesday, the culmination of a three-day visit with a delegation of German officials and business leaders. He also met with Premier Li Qiang as the two countries navigate relations strained by Russia’s war in Ukraine and China’s rivalry with the United States, Germany’s most important ally.

       Throughout his trip, Mr. Scholz promoted the interests of German companies that are finding it increasingly hard to compete in China. And he conveyed growing concern in the European Union that the region’s market is becoming a dumping ground for Chinese goods produced at a loss.

       But Mr. Scholz chose a conciliatory tone over a combative one in his opening remarks before sitting down with Mr. Xi on Tuesday morning, in a meeting that stretched over three hours and turned into a walk and lunch.

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       It was the German leader’s first visit to China since his government adopted a strategy last year that defined the Asian power as a “partner, competitor and systemic rival,” calling on Germany to reduce its dependency on Chinese goods.

       Germany’s economy shrank last year, and its weaknesses have exposed a reliance on China for growth. Energy prices have risen because of the war in Ukraine, which has been facilitated by Beijing’s support for the Kremlin. German companies have pushed for more access to China and complained that they face unfair competition.

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       Alexandra Stevenson is the Shanghai bureau chief for The Times, reporting on China’s economy and society. More about Alexandra Stevenson

       Melissa Eddy is based in Berlin and reports on Germany’s politics, businesses and its economy. More about Melissa Eddy

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