Germany-China Cooperation in the Ascendant

Chinese Premier Zhu Rongji, now on an official visit to Germany, will hold talks with German leaders on questions such as bilateral cooperation in various fields, as well as on regional and international situations. The present visit will definitely further friendly relationship between the two countries and promote the development of bilateral cooperation in various spheres.

Since Germany and China established diplomatic relations in 1972, bilateral relationship has developed smoothly, particularly after Germany readjusted its policy toward China in 1992, there have been frequent mutual visits between top leaders of the two countries, consultations at various levels and exchanges have steadily strengthened, and significant progress has been made in the relations of cooperation between both sides in the political, economic, scientific, technological and cultural areas.

For many years, Germany has all along been China's largest trade partner in Europe, and in recent years China has also become Germany's second biggest trade partner in Asia. In 1972, the trade volume of the two country was only US$274 million, the figure increased to nearly US$16.12 billion, outdoing the combined total volume of China's trade with Britain and France, accounting for 30 percent of the volume of China's trade with the European Union (EU), and being equivalent to one-fourth of the combined total volume of China's trade with various European countries. Thus far, Germany has directly invested in 2,197 projects in China, with actual paid-in capital amounting to approximately US$5.29 billion, most of the invested projects are concentrated in modern production fields, such as auto manufacture, electronics, chemical industry, as well as infrastructure facilities and other high-tech industries.

The cooperation between Germany's development policy project and China has witnessed remarkable results, so far Germany has promised to provide China with a soft loan of DM3.8 billion for "financial cooperation", which will be used mainly in the aspects of infrastructure facilities, environmental protection, personnel training as well as some large industrial projects. The DM850 million of "technological cooperation" funds extended by Germany to China without compensation is used in food assistance and emergency disaster-relief and other projects. Such cooperation of development policy is a kind of cooperation of mutual benefit and mutual reciprocity for the two countries, it is helpful both to promoting China's economic construction and poverty-relief program, and to Germany's expansion of the export of industrial products and increase in employment.

Germany and China have also witnessed fruitful results in their cooperation in the fields of science, technology, education and culture. In 1978, governments of the two countries signed the Agreement on Scientific and Technological Cooperation. In 1997, the two countries set up a high-tech dialog forum, cooperation between both sides covers applied and basic science, aerospace, nuclear energy as well as maritime fields. Germany is a European country which has the most students from China, thus far, China has sent 25,000 students to Germany. The Joint Statement on Recognition of Diplomas in the Field of Higher Education signed by Germany and China in 1999 is the first document on recognition of academic degree and record of formal schooling China has signed with a Western country. The cultural exchange between Germany and China is also very active, there are frequent official and non-official exchanges in the movie film, music, literature and art as well as in commercial performances, these activities have enhanced mutual understanding between the people of the two countries.

Former German President Roman Herzog once pointed out that there is no historical obstacle to the development of relationship between Germany and China and the two nations have many things in common. Under the international environment featuring the developing economic globalization and the requirement of the interdependence between various countries for close cooperation, Germany pursues a foreign policy of multilateralism, the core of which is to enter into cooperation on an equal footing with other countries and oppose hegemony, it shares the views of China on many major international issues. Germany has a developed economy, advanced technology and rich management expertise, whereas China has abundant human and material resources and a developing vast market, there is great room for both sides to supply each other's need and learn from the other's strong points to make up one's deficiencies. Therefore, there is a long-ranging prospect for the two countries to develop long-term, steady and comprehensive cooperative relationship.



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