Germany’s industrial sector unexpectedly ramped up production in October, data showed, despite a slowdown in the automotive industry.
Competition from Chinese brands and Beijing’s export restrictions on rare earth elements and semiconductors have squeezed Germany’s flagship sector. The new figures come as Berlin toughens its stance on China, while trying not to rankle its top trading partner. On a visit to China, Germany’s foreign minister warned against Chinese subsidized EVs flooding the EU market, while suggesting some progress in rare earth talks with Beijing.
China is a “relationship that German industry finds hard to quit,” DW wrote: Many German firms have substantial China exposure despite Berlin’s “de-risking” push, and aren’t eager to pull out of the lucrative market.
