Berlin pledges €60M for climate adaptation fund – DW – 11/18/2025

17 November 2025

After talks, China and Germany eye ‘common solution’ on supply chain

German Vice Chancellor and Finance Minister, Lars Klingbeil, took a positive stance after talks with Vice Premier He Lifeng in Beijing on Monday, particularly on access to industrially important rare earths.

Klingbeil said both China and Germany “want to find common solutions regarding reliable access and supply chains” after months of European concern over Chinese export restrictions as a result of Beijing’s trade war with US President Donald Trump.

“The Chinese side doesn’t say it when it doesn’t mean it,” Klingbeil stressed when talking about concrete consequences looming on the horizon.

Klingbeil described cooperation with China as essential – not only on trade and raw materials, but also in the areas of climate policy, global health and financial stability.

China leads the world in rare earth production – vital for everything from cellphones to fighter jets – and Klingbeil stressed that Beijing’s “unfair application of export controls” is a serious threat to the global economy.

The German Finance Minister and Vice-Chancellor also called for fair trade competition between the two countries, saying, “We do not shy away from competition, but it is also clear that it must be fair.”

“In Germany we see this as a threat to fair competition” that puts German jobs “at risk,” Klingbeil said, citing Chinese overproduction in sectors such as steel, photovoltaics and electric vehicles.

Klingbeil’s Chinese counterpart He Lifeng said both sides stressed their desire to strengthen stability and security in the global supply chain, including rare earths.

He also said, “The Chinese side invites German companies to come to China for investment.”

Regarding disputes with the EU, he clarified that China hopes Germany will use its influence to bring the two sides closer together again.

EU seeks to reduce dependence amid US-China trade war

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