German Media: Germany Should Learn from Certain Aspects of China’s Industrial Policy
A guest commentary published in Handelsblatt notes that Germany still has room to draw lessons from specific approaches employed by China.
The article, featured in Handelsblatt, a Düsseldorf-based German business newspaper, was authored by two German scholars with long-standing expertise on Chinese economic affairs. Max Zenglein and Robin Schindowski argue that China’s achievements in key industries are indeed impressive—and Germany should consider what it can learn from them.
China’s dominance in multiple industrial sectors is placing mounting pressure on Germany’s traditional core strengths in automotive manufacturing, mechanical engineering, and chemical industries. This shift is increasingly challenging Germany’s self-perception as an industrial powerhouse. For instance, Volkswagen CEO Oliver Blume recently praised the structure of China’s “five-year plans” as “extremely well-optimized.”
The authors point out that China’s industrial policy over decades has consistently accelerated the commercialization of critical technologies such as artificial intelligence and green energy, thereby fostering cross-sector technological synergies. The widespread adoption of these commercially viable innovations has enabled numerous traditional industries to modernize, generating economies of scale, preventing offshoring of established industries, and paving the way for transitions toward future-oriented sectors.
The authors emphasize that Germany could still benefit from certain elements of China’s industrial policy.
“For example, while the EU has been discussing mandatory technology transfers from foreign investors, domestic localization policies have proven far more effective. When Tesla entered China in 2018, it was required to establish a local supply chain. This move helped create a highly competitive industrial ecosystem, which Chinese automakers later benefited from significantly.”
“Thus, with appropriate measures in place, investments by Chinese firms in Germany could indeed support the modernization of German industry.”
In the long term, Germany has no alternative but to intensify its own efforts to improve the business environment, attract investment, foster innovation, and modernize its industrial base.
Original source: toutiao.com/article/1877505064974403/
Disclaimer: The views expressed in this article are those of the author(s) alone.