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Germany eyes rare earths during FM's China visit

Dang Yuan
December 10, 2025

Taiwan, trade ties and German access to critical rare earth minerals topped the agenda during German Foreign Minister Johann Wadephul's first visit to China.

Johann Wadephul in a hard hat while visiting the Herrenknecht AG factory in Guangdong
German industry is heavily tied to China Image: Soeren Stache/dpa/picture alliance

After a second attempt, German Foreign Minister Johann Wadephul's inaugural visit to China finally came to fruition on Monday, with the top diplomat meeting Foreign Minister Wang Yi, Vice President Han Zheng and Commerce Minister Wang Wentao.

The original trip had been planned for the end of October but was canceled on short notice. At the time, it was said that Wadephul had been unable to arrange a sufficient number of high-level meetings. However, Berlin suspected that the CDU politician's previous criticism of China, especially about Taiwan and the South China Sea, may have caused unease in Beijing.

Beijing considers Taiwan a breakaway province and passed the so-called Anti-Secession Law in 2005, which legitimizes the use of armed force for "reunification" with the mainland if Taiwan declares independence.

China also bristles at any international criticism of its pressure on Taiwan, often claiming such criticism amounts to outside interference in "internal" affairs.

Walking the Taiwan tightrope

The Taiwan issue is at the heart of China's core interests, Chinese Vice President Han Zheng reiterated when he met with Wadephul on Monday

The Chinese Foreign Ministry issued a statement saying that Wadephul had expressly committed himself to the so-called "One-China policy" on behalf of the new federal government.

Under this policy, countries do not maintain official diplomatic relations with Taipei, but at the same time do not expressly recognize the People's Republic of China's claims of sovereignty over Taiwan. For countries around the world, adhering to the "One-China" policy is an important political foundation for relations with Beijing, which is why only 12 countries officially recognize Taiwan as an independent nation.

After the meeting, the German and Chinese Foreign Ministers traded diplomatic niceties. 

Germany attaches great importance to its relations with China, Wadephul wrote on X.

"We are interested in fair exchange on economic and security issues. I greatly appreciate having had the opportunity to speak at length with Vice President Han Zheng today."

Against this backdrop, Beijing took a conciliatory stance.

"Whether you come early or late is irrelevant," said Chinese Foreign Minister Wang Yi.

"What matters is why you come. You come to initiate cooperation, not to argue; you come to promote greater understanding, not to exacerbate differences."

A German and Chinese delegation sat down for talks in Beijing on Monday Image: Dai Tianfang/Xinhua News Agency/picture alliance

Wang also outlined Taiwan's history, namely that the island had been occupied by Japan during World War II and was "returned" to China at the Potsdam Conference in 1945. The Potsdam Declaration is often used by Chinese officials as historical evidence that Beijing enjoys sovereignty over Taiwan. Taipei disputes this narrative.

Wang praised Germany for its successful reconciliation with its past after World War II, and criticized Japan.

Unlike Germany, Japan has not fully repented for its history of aggression even 80 years after the end of World War II, Wang said.

He also referred to a recent statement that caused uproar in Beijing by Japanese Prime Minister Sanae Takaichi, in which she said Japan would support Taiwan militarily with its own armed forces in the event of a conflict.

"If there is to be a change in the status quo, then in our view it must be brought about peacefully and by consensus through negotiation," said Wadephul, speaking with DW Chief International Editor Richard Walker.

China an essential German trade partner

China is particularly important for the German economy — not only as a sales market, but also as a key supplier of raw materials.

Economic relations between the world's second and third largest economies are "of central importance," Wadephul emphasized during his meeting with Minister of Commerce Wentao.

From 2016 to 2023, China was Germany's largest trading partner — until the US took the pole position in 2024. According to figures from the Federal Statistical Office, China has a good chance of regaining the lead in 2025.

In the first three quarters of 2025, imports to Germany from China rose significantly to €124.5 billion, up 8.5% year on year, while exports to China fell to €61.4 billion, down 12.3%. This also comes along with concerns of cheap Chinese exports flooding European markets.

China's resurgence as a trading partner is "due in particular to the very weak export figures to our most important sales market, the United States," emphasized Volker Treier, head of foreign trade and member of the executive board of the German Chamber of Industry and Commerce (DIHK).

Trier added that sales prospects in China have not improved fundamentally for German companies.

Wadephul: 'We want to be reliable trading partners'

03:02

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Germany eyes access to rare earths

In order to address the risks involved in future cooperation with China, the German Bundestag has set up a commission to review security-related economic relations between Germany and China.

"This also concerns the issue of dependencies on raw materials, technologies, and supply chains," said Nicolas Zippelius, CDU member of the German Bundestag, last Thursday before flying to China with Foreign Minister Wadephul.

The German economy is becoming more dependent on Chinese rare earths, which are essential for the production of things like magnets in motors and generators. Rare earths are also needed for high-performance chips and fiber optic networks.

Although there are deposits of rare earths in Germany, mining and processing are energy-intensive and place an enormous strain on the environment. China is currently by far the largest producer, ahead of Brazil, India and Australia.

The Chinese government has currently restricted exports because Beijing wants to determine the use of intermediate or end products containing a total of 17 rare earth elements, according to Friedolin Strack from the Federation of German Industries (BDI), who spoke at the annual conference of the German-Chinese Business Association (DCW) last Friday.

Beijing wants to prevent these rare earths from entering US markets. However, the export restrictions are a tool in the trade war against the US and are not directly targeting the German economy.

Although Germany has been affected, German companies have been able to purchase Chinese rare earths in several cases this year, Strack said.

Beijing has now promised Wadephul general export licenses.

"China has offered to issue general licenses for European and German companies and has encouraged us to urge our companies to apply for them," Wadephul said in Beijing.

Rare earths — the new gold?

04:23

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Nevertheless, Strack from the BDI indicated that Chinese export licenses would only be issued quickly if political confidence remains stable.

According to the 2025-26 business climate survey conducted by the German Chamber of Commerce and Industry in Greater China, 75% of the German companies surveyed in China said that "good relations between Germany and China at the political level are also crucial for the further business activities of these companies."

"Unfortunately, not as many people are saying that the current relationship achieves this," according to Treier.

This article has been translated from German 

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