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IfW study: German companies face dangerous dependence on China

The Kiel Institute for the World Economy (IfW) is raising the alarm: Germany is becoming too economically dependent on China. That is the conclusion of a study published on Monday titled “Reluctant US vs Ambitious German Direct Investment in China – the Tale of Two Strategies.” IfW trade researcher Rolf Langhammer said on Monday, “German companies are on the path to a dangerous dependence on the goodwill of the Chinese leadership. They serve China’s geopolitical claim to power by transferring their know-how to the country and may be pushed out by domestic companies.”

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