China and Germany are advancing their business and technological partnerships, with innovation and expertise now traveling in both directions, according to a recent joint report unveiled in Beijing. The study highlights a shift from the traditional flow of knowledge primarily from Germany to China, indicating a balanced exchange of technological advancements.
The findings were presented at the China-Germany (China-Europe) Hidden Champions Forum 2026, which took place in Beijing’s Shunyi district. The event gathered over 400 executives and business representatives from both Europe and China, underscoring the importance of this bilateral cooperation.
Significantly, the report noted that a considerable number of European companies are keen on expanding their operations in China. About 38 percent of the European firms surveyed expressed intentions to increase their research and development investments in China. Moreover, 40 percent of these companies plan to grant their Chinese branches more autonomy from their German headquarters, signaling a strong commitment to localized growth and innovation.
Meanwhile, Chinese companies are also making strategic moves in Germany, particularly in the electric vehicle sector. Leading Chinese brands like Li Auto and NIO have set up research and design centers in Germany, illustrating the bidirectional nature of technological collaboration between the two nations.
Furthermore, the forum saw the introduction of a public service station aimed at assisting businesses in overcoming technical trade barriers. A new partnership initiative was also launched to encourage German and European companies to engage more actively with Beijing’s economic and technological cooperation zone in Shunyi. Tang Wenhong emphasized Beijing’s commitment to fostering these collaborations by attracting more innovative companies, thereby reinforcing the city’s role as a global hub for science and technology.
