Skip to content
Sign in
↑Part of: Merz backs de-risking with China as EU trade tensions persist
Politics · Asia

Merz rejects China decoupling and urges Europe to defend its interests

German Chancellor Friedrich Merz said Germany opposes decoupling from China and should instead pursue de-risking and diversification. He called for a united, competitive Europe and more dialogue with China on trade, security and world order.

AI-assisted synthesis · Based on 4 outlets' reporting · Article text read from 1 of 4 outletsHow it's made

View timeline · 10 entries
4 outletsLatest reporting 3 min read
Coverage: Center OnlyL 0 · C 3 · R 0 · 1 unrated
Updat3 graphic: Germany → China
Updat3 graphic · Map data: Natural Earth Natural Earth (public domain)

What happened

The brief

German Chancellor Friedrich Merz said Germany does not want to sever economic ties with China, while arguing that the country and Europe must be able to defend their interests. At the 49th Singapore Lecture in Singapore, he rejected decoupling and advocated de-risking and diversification instead. The Straits Times reported that Merz called decoupling “a big mistake.”

Merz said a balanced approach to China requires Europe to be united, strong and competitive. He described Germany and the European level as working systematically toward that goal, and said that principle also applies to China. His remarks set out a distinction between cutting ties and reducing exposure through diversification, without proposing an end to engagement. The chancellor cited China’s “€360 billion” trade surplus and called for greater dialogue on trade, security and world order. He said: “Wise China policy begins at home.” The Straits Times reported the figures and remarks from his lecture; the cited surplus was presented as part of Merz’s case for a European approach to China. Merz delivered the lecture on Oct 27 at the Singapore Marriott Tang Plaza Hotel during a two-day official visit to Singapore. Minister for Digital Development and Information Josephine Teo chaired the session. The ISEAS – Yusof Ishak Institute organised the event. The lecture took place amid trade tensions between Europe and China that, according to The Straits Times, had threatened to escalate into an all-out trade war. Merz’s stated emphasis was on dialogue alongside de-risking and diversification, rather than decoupling. The South China Morning Post’s headline likewise characterised his position as opposing decoupling while defending Germany’s interests. Merz also discussed Europe’s engagement with Russia. He said European efforts should not be limited to the so-called E3 grouping—the United Kingdom, France and Germany—and named Poland, Italy and Norway among other countries that could be involved. His comments placed that question alongside his call for a more capable and coordinated European approach, while the lecture’s central focus remained Germany’s policy toward China.

Why it matters

  • Rejecting decoupling signals that German firms can continue trading with China, while de-risking would push companies to diversify suppliers and reduce exposure to disruptions or political pressure. Merz’s emphasis on a united, competitive Europe strengthens the case for coordinating trade and security policy across EU countries, which could shape how Europe protects sensitive industries without severing commercial ties.

What to watch next

  • Whether Germany and European institutions pursue the de-risking and diversification approach Merz endorsed.
  • Whether Germany and other European governments advance the dialogue with China on trade, security and world order that Merz called for.
  • Whether European engagement with Russia extends beyond the E3 grouping to include countries Merz named, such as Poland, Italy and Norway.

How it's being covered

Coverage analysisShow details
5 source articles · 4 unique outlets
Outlet political mix: Center Only· 3 Center · 1 unrated
Where the outlets are based: Asia 50% · Global 25% · Other 25%
Outlet political mix
Center Only
Left
Center
Right
0 outlets
3 outlets
0 outlets
The marker shows coverage balance: each unique outlet counts once. 1 unrated outlet is not included.
Geography
Where the outlets covering this story are based.
4 unique outletsDominant coverage: Asia
Coverage imbalance
  • Coverage is currently concentrated among Center-rated outlets (3 of 3 rated sources); comparatively few Left or Right-rated outlets have published on the event.
How we measure coverage

One source is from a wire service (AP, Reuters, AFP or Bloomberg), whose reporting other outlets often republish.

How outlets' accounts compare

Updat3 does not yet have enough full reports to compare how outlets framed this story.

Timeline

Developments from this story's sources, dated background we compiled and fact-checked, and our earlier coverage. Each row says which.
  1. The European Union and China established a strategic partnership.
    Background · compiled and fact-checked by Updat3
  2. Russia annexed Crimea in March 2014, and the EU imposed sanctions that year.
    Background · from our historical context
  3. On 22 March 2019, the European Commission and the EU’s foreign-policy chief issued a strategy paper that called China simultaneously a cooperation partner, negotiating partner, economic competitor and systemic rival.
    Background · from our historical context
  4. The European Union and China announced an agreement in principle on the Comprehensive Agreement on Investment.
    Background · compiled and fact-checked by Updat3
  5. The European Parliament froze consideration of the EU-China investment agreement after China imposed sanctions on European lawmakers and researchers.
    Background · compiled and fact-checked by Updat3
  6. EU leaders granted Ukraine candidate status on 23 June 2022.
    Background · from our historical context
  7. On 20 June 2023, the European Commission presented its Economic Security Strategy, which paired protecting sensitive technologies and supply chains with continued international trade.
    Background · from our historical context
  8. Germany’s government published its first China Strategy on 13 July 2023, describing China as a partner, competitor and systemic rival and calling for reduced dependencies rather than an end to economic ties.
    Background · from our historical context
  9. The European Union's definitive countervailing duties on electric vehicles made in China took effect.
    Background · compiled and fact-checked by Updat3
  10. Friedrich Merz became Germany's chancellor.
    Background · compiled and fact-checked by Updat3

How we got here

On 20 June 2023, the European Commission presented its Economic Security Strategy, which paired protecting sensitive technologies and supply chains with continued international trade.

Germany’s government published its first China Strategy on 13 July 2023, describing China as a partner, competitor and systemic rival and calling for reduced dependencies rather than an end to economic ties. The European Union’s approach grew out of China’s expanding role in European commerce and the bloc’s efforts to coordinate trade policy.

Original sources

5 articles from 4 outlets

Every story links to the reporting it was built from. How we choose sources

Spotted a factual error, a broken link or a misleading summary? Tell us.