German strategy paper targets China trade dependence, says report

Germany’s Economy Ministry recommended excluding components from providers from authoritarian states in critical infrastructure and imposing stricter requirements for firms dealing with China.

Those German firms particularly exposed to China should share details on that business with the government and undergo regular stress tests, according to the ministry’s “Internal Guidelines on China”, marked confidential.

Executives from firms including chemicals giant BASF , Deutsche Bank and industrial group Siemens pushed back on the government’s plans in a call with Economy Minister Robert Habeck in September, Reuters reported, citing sources.

The companies declined to comment at the time. Any new plan would have to be approved by other parties in Germany’s ruling coalition.

China became Germany’s single biggest trade partner in 2016. However, the relationship has come under close scrutiny since Russia’s invasion of Ukraine, which led to the curtailment of a decade-long energy relationship with Moscow and caused numerous companies to ditch their local businesses.

The paper seen by Reuters, appears to detail the latest standpoint and would likely feed into the government’s broader China strategy which it intends to publish next year.

It could extend scrutiny of IT component suppliers from some countries to firms making components for critical infrastructure such as transportation, healthcare or water and food supply.

China on radar, US unveils new stealth bomber

America is giving a first glimpse of its B-21 bomber on Friday, a $203 billion project to build a fleet of 100 stealthy warplanes. A part of the Pentagon’s answer to rising concerns over a future conflict with China.

Only artists’ renderings (pictured) of the warplane have been released. Changes likely include advanced materials used in coatings to make the bomber harder to detect, new ways to control electronic emissions, the bomber could spoof adversary radars and disguise itself as another object, and use of new propulsion technologies.AP

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