The United States has overtaken China to become Germany’s largest trading partner in the first half of 2024, according to preliminary data from the German statistics office. This shift comes amid Berlin’s efforts to reduce its economic reliance on Beijing and is supported by a resilient U.S. economy.
From January to June, trade between Germany and the U.S. amounted to approximately 127 billion euros ($139 billion), while trade with China totaled 122 billion euros, based on Reuters’ calculations of the data. This change follows the first quarter of 2024 when the U.S. initially surpassed China, ending China’s eight-year streak as Germany’s top trading partner in 2023 by a narrow margin.
Germany’s move to decrease its dependence on China is driven by political differences and allegations of “unfair practices” by Beijing, though specific policy measures have not been clearly outlined. Lola Machleid, a foreign trade expert at the German Chamber of Industry and Commerce (DIHK), noted that the strong U.S. economy has bolstered German exports.
In the first six months of 2024, German exports to the U.S. increased by 3.3% to nearly 81 billion euros, while exports to China declined by almost 3% to just over 48 billion euros. Meanwhile, imports from China fell by nearly 8% to 73.5 billion euros, and imports from the U.S. decreased by 3.4% to 46.1 billion euros, driven by energy commodity supplies.
“Given the current geopolitical uncertainties and the unpredictable future economic developments in the U.S., China, and Germany, it is challenging to forecast how this close competition will evolve,” Machleid said.
