The German economy is still dependent by far from China for a range of products and raw materials despite efforts to expand into other markets, a survey by the German Economic Institute shows today.

While total imports from China fell by almost a fifth from 2022 to 2023, the share of product groups for which Germany depends on China for more than half of its imports has changed minimally, including chemicals, computers and photoelectric cells.

Regarding certain categories, such as pharmaceutical products and rare earths – such as scandium and yttrium – Germany’s dependence has increased.

“A clear structural mitigation of risks – in the sense of a continued trend towards further significant reductions in imports – has yet to be seen,” the study said.

About 73 product groups were removed from the list of goods for which Germany is highly dependent on China, but a similar number were added in their place, meaning the total number fell only minimally — to 200 from 213 .

The study was published ahead of Chancellor Olaf Solz’s visit to China this week as companies push for what they call fairer access to the Chinese market and Europe worries about a glut of Chinese products in its market.

Scholz’s visit to China is the first since last year, when Berlin developed a China strategy that called for “risk minimization” to reduce financial exposure to the world’s second-largest economy.

Germany is concerned about dependence on a country it describes as both its partner and systemic enemy, especially after Russia’s 2022 invasion of Ukraine exposed Europe’s dependence on Russian gas imports.

In China, Scholz will be accompanied by the heads of major companies such as Siemens and Mercedes as well as members of his cabinet, underscoring the important role Beijing plays for Berlin.