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Germany news: Merz in Asia warns against weaponizing trade, calls for 'rules based' order

German diplomacy in Asia was in focus this week, as Chancellor Merz wraps up a three-country Asian business tour in South Korea. Meanwhile, President Steinmeier is set to hold talks with Xi Jinping. DW has more.

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German Chancellor Friedrich Merz warned against weaponizing trade during his Asia tour, urging for a rules-based economic order at the Asia-Pacific Conference of German Business in Seoul on Friday. Merz emphasized that the European Union is prepared to take the lead in shaping a better deal for Asian countries facing the pressure of a destabilized trade order.

He highlighted the increasing competition between the US and China, with tariffs, technological decoupling strategies, and a race for critical raw materials and new technologies fundamentally altering global economic rules. Merz expressed concerns about these conflicts and shifts in power patterns, particularly for economically aspiring partners in the Indo-Pacific and Germany.

During his stops in Singapore and Japan, Merz advocated for free trade agreements, including a potential EU-CPTPP partnership. He stressed the importance of joining forces against unilateralism, autocratic power politics, and violations of international law, warning that supply chain politicization, obstructed access to key technologies, and resource security displays akin to power struggles would jeopardize growth, prosperity, and regional security.

South Korean Prime Minister Han Seong Sook mentioned Germany as an example of how German companies use South Korea as a central hub for their Asia-Pacific expansion.

Written by urgent.news from DW English (Business)'s reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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