MUNICH, Germany, Oct. 17 (Xinhua) -- Strong cooperation between Germany and China is vital for maintaining global economic stability, particularly amid rising geopolitical tensions, according to Christian Scharpf, mayor of Ingolstadt in southern Bavaria.
Scharpf made the remarks during an interview with Xinhua at the "10th Bavarian China Day" here on Wednesday. The event, organized by the municipal government and the Chinese Consulate General in Munich, drew more than 120 officials and business leaders from both countries, underscoring the promising prospects for bilateral collaboration.
This year marks the 10th anniversary of the comprehensive strategic partnership between China and Germany, which has delivered significant progress in trade and economic cooperation, said Lin Kai, acting consul general at the Chinese consulate in Munich.
Highlighting the deep ties between China and the German state of Bavaria, Lin said that around 500 Chinese companies have established operations in Bavaria. Meanwhile, over 600 Bavarian enterprises, including Siemens, Audi, BMW, and Allianz, have set up branches and made investments in China.
Tobias Gotthardt, state secretary at the Bavarian Ministry of Economic Affairs, Regional Development and Energy, said that China has been Bavaria's most important trading partner for years, with bilateral trade volume reaching 53 billion euros (57.5 billion U.S. dollars) in 2023. Bavaria's exports to China have remained strong, while imports from China have nearly doubled over the past three years, he added.
Gotthardt stressed the importance of foreign trade for the state and Germany as a whole, noting that the Chinese market is indispensable.
"Cooperation in areas such as mechanical engineering, automotive, and energy and environmental technologies has been built on a foundation of trust over many years," said Gotthardt.
He expressed optimism that this collaboration will continue to drive economic growth and address global challenges like sustainability. "We must remain focused on cooperation in areas where it is possible."
Yu Guangsheng, deputy head of the investment promotion at China's Ministry of Commerce, mentioned that German investments in China reached an all-time high in the first half of this year, while Chinese investments in Germany surged by 42 percent year-on-year in 2023. "Companies from both countries are demonstrating their confidence in bilateral economic relations and partnerships through tangible investments," he said.
During the event, Ingolstadt and Changchun, a major city in northeast China, announced the establishment of a strategic economic partnership.
Scharpf underscored the longstanding relationship between Ingolstadt, home to Audi's headquarters, and Changchun, where China's automotive giant FAW Group is based. He noted that economic and cultural exchanges between the two cities have been active for years, and expressed hope for even deeper cooperation in the future.
The mayor voiced his belief that the two countries still have vast potential for collaboration, particularly in areas like climate protection, sustainable development, as well as education and cultural exchanges.
Regarding the European Union's (EU) recent tariff policy on electric vehicles from China, experts at the event criticized protectionism, and advocated for the promotion of free trade and mutual development between the EU and China.
Gotthardt warned that the tariffs could escalate trade conflicts and undermine the principles of free trade. "A tariff-free alternative would undoubtedly be a better solution for all parties involved," he said.
Georg Rosenfeld, an economic official from Ingolstadt, echoed this sentiment, saying that protectionism and trade barriers are detrimental. He called for open and fair competition, as well as mutual trust which is essential to fostering such competition. (1 euro = 1.08 U.S. dollar)
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