German companies increase investment in China while sharply reducing investment in the US

The German Economic Institute (IW) released a study on the 13th showing that in the first half of 2026, German companies' investments in China grew by about one-third year-on-year, while investments in the United States dropped sharply over the same period. According to reports, based on the German Economic Institute's analysis of data from the Bundesbank, from January to June this year, German companies increased their investments in China by approximately 5.6 billion euros (equivalent to about 44 billion RMB at the current exchange rate) compared with the same period last year. This amount is basically in line with the average semi-annual investment level from 2020 to 2025. The article cites German expert Jürgen Matthes as saying that it is a very natural choice for German companies to continue investing in China. He described China as not only an important sales market but also a "gym" where companies can hone their competitiveness. (CCTV)