German trade deficit with China grows as Beijing relies less on European industry

Germany’s trade gap with China widened sharply in H1 2026 — exports to China fell over 12% to just under €37B while imports rose to about €92B, leaving a roughly €55B deficit even though China remains Germany’s top trading partner.
Beijing is buying fewer European goods as Chinese firms boost domestic supply chains and produce more locally, while China’s tech catching-up is reducing reliance on Western suppliers.
The shift is hitting German industry — think job cuts at companies like Volkswagen — and fueling talk that the “Made in Germany” brand needs to reinvent itself amid global tariffs and competition.