BASF and Siemens Energy are joining a major German business delegation visiting China this week as Europe attempts to strengthen economic ties despite rising geopolitical tensions and trade concerns.

German Economy Minister Katherina Reiche is leading the visit alongside executives from several industrial giants including BASF, Thyssenkrupp and Siemens Energy.

The discussions are expected to focus heavily on trade cooperation, raw material access and industrial investment opportunities.

BASF continues expanding its massive investment project in Zhanjiang, China, which remains one of the company’s largest overseas business developments.

German manufacturers remain heavily dependent on China both as a production base and as a major consumer market.

At the same time, European companies are facing increasing pressure to reduce supply chain dependence on China amid global trade uncertainty and strategic competition between major economies.

Businesses are attempting to balance market access with geopolitical risks.

Analysts say the visit highlights how global corporations are still prioritising Chinese business opportunities despite growing international tensions surrounding trade, technology and industrial policy.

Source: Reuters