Former German chancellor cautions against defensive approach to Chinese investment

HAMBURG - Former German chancellor Gerhard Schroeder has cautioned against a defensive approach to Chinese investment in Germany, saying that the German economy is dependent not only on foreign investment but also on foreign knowledge and know-how.

"In times of great global changes, China and Germany are very important partners for each other...... Economic relations constitute an important component of this strategic partnership," Schroeder said in a keynote speech at the 7th "Hamburg Summit: China Meets Europe" which opened here Wednesday.

"This economic exchange is enormously beneficial not only for the businesses in our two countries, but it is also important for the opening of both our societies, which can learn from one another's social traditions, values and attitudes," the former chancellor said.

It is one of the German export-oriented economy's recipes for success that it fundamentally emphasises sustainable and fair cooperation, he said, adding that investment and openness are the elements that drive German economy forward.

"Without them, we cannot advance. Germany should therefore not take a defensive approach to Chinese investment in our economy," Schroeder said.

He said the Sino-German partnership is based on a common conception of the politics of international relations: the strengthening of multilateralism.

"We must use the tool of international cooperation to solve old conflicts and stand united to fend off new threats."

"In today's world, there is no country that can master all these new challenges alone," he said, noting that the tasks the world is facing require a strong and effective multilateral system.

"This is why we must intensify the strategic partnership with China in all areas - in politics and culture, as well as in the economy and civil society," Schroeder said.

The "Hamburg Summit: China Meets Europe" is a biennial event, first initiated by the Hamburg Chamber of Commerce in 2004. It serves as a major platform for comprehensive dialogue between China and Europe to enhance mutual understanding and improve economic relations.

The seventh summit, which opened here Wednesday at the Hamburg Chamber of Commerce in downtown Hamburg, was participated by at least 500 political, business and academic leaders.

Through keynote speeches and panel discussions, the two-day meeting focuses on issues such as the internationalization of China's renminbi, industrial transformation in a digital world, and China's Belt and Road Initiative.