German Firms Under Increasing Pressure from Innovative Chinese Competitors, Survey Shows
German Companies Face Rising Competition from China
By Maria Martinez
BERLIN, Sept 3 (Reuters) - German companies are increasingly feeling competitive pressure from Chinese rivals, with more than half supporting stronger EU measures against what they consider unfair competition, a survey by the German Chambers of Commerce and Industry (DIHK) showed on Thursday.
Survey Results Highlight Growing Concerns
Two-thirds of the 1,300 companies surveyed said Chinese competitors were putting them under pressure, rising to 83% among industrial firms.
Expert Insights on Chinese Competition
"Competition with China has reached a new dimension," said Volker Treier, DIHK's head of foreign trade.
Technological and Innovative Advances
"Chinese companies are no longer competing only on volume and price. They are technologically strong, innovative and increasingly present internationally," said Treier.
Companies Go on the Offensive
The survey showed that 55% of companies backed stronger EU measures against market distortions, even if that could bring disadvantages such as higher prices, tariffs, bureaucracy or retaliation against their own businesses, while 37% of the companies oppose them.
Calls for Coordinated European Response
Companies called for a coordinated European stance towards China and a reduction in strategic dependencies while warning against a broad-brush approach.
Avoiding a Trade War
"This is not a call for a trade war," Treier said.
"Europe must address and counter distortions of competition decisively but must not harm itself through blanket measures."
(Reporting by Maria Martinez, Editing by Miranda Murray)
