Li Chang from China pressures German business leaders: "Companies must lead risk mitigation strategies"

Richang Holds Meeting with Representatives of 12 German Companies
"Requested to Lead De-risking Strategy"
China Engages Germany Amid Deepening US-China Relations

Premier Li Chang, who visited Germany for his first overseas trip since taking office, met with top German business leaders. Premier Li emphasized that companies should take the lead in striving to improve relations between the two countries.

According to Xinhua News Agency, China's state-run media, Premier Li held talks with representatives from 12 companies in Berlin, Germany, on the 12th. The meeting included representatives from the automotive industry such as Volkswagen Group and Mercedes-Benz Group, as well as Covestro, a chemical materials manufacturer, and Allianz, an insurance company.

Li Qiang, Premier of the State Council of China
[Photo by AP Yonhap News]

At the meeting, Premier Li told the business leaders, "Companies are keenly aware of crises and know well how to avoid them," adding, "Companies must take a leading role in preventing and resolving crises." This appears to be a call for companies to raise their voices in shaping the relationship between Germany and China.

Recently, China has been actively courting European countries in response to the US-China conflict. Currently, the EU is pursuing a strategy of "de-risking" rather than "decoupling" (separating relations) with China, avoiding direct involvement in bilateral issues. The de-risking strategy focuses on reducing excessive economic dependence on China to mitigate potential risks instead of completely severing ties.

As the EU adopts a neutral strategy, China has targeted Germany, which prioritizes economic pragmatism. German Chancellor Olaf Scholz has shown pro-China gestures, including being the first Western leader to visit China since the launch of Xi Jinping’s third term.

During the meeting, Premier Li suggested that "de-risking and cooperation are not mutually exclusive," implying that Germany can continue its cooperation with China. He further emphasized the significant role of pragmatic companies in maintaining cooperation with China under the de-risking strategy. This implicitly means that companies focused on economic interests should take the lead in fostering improved relations between Germany and China.

Bloomberg reported, "China is involving business leaders in the hegemonic competition to expand its influence in the international community," and noted that "experts are concerned that Li Chang’s visit will significantly impact Germany’s China strategy to be announced next month."

Meanwhile, Premier Li is scheduled to visit Paris on the 22nd at the invitation of the French government, where he will hold talks with Emmanuel Macron. Meetings with local business and commercial representatives are also planned in France.