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China’s Investments in Germany and the Impact of the COVID-19 Pandemic

Author

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  • Xinming Xia

    (University of Peking)

  • Wan-Hsin Liu

    (Kiel Institute for the World Economy (IfW))

Abstract

This paper analyses how China’s investments in Germany have developed over time and the potential impact of the COVID-19 pandemic in this regard, based on four different datasets, including our own survey in mid-2020. Our analysis shows that Germany is currently one of the most attractive investment destinations for Chinese investors. Chinese state-owned enterprises have played an important role as investors in Germany — particularly in large-scale projects. The COVID-19 pandemic has had some negative but rather temporary effects on Chinese investments in Germany. Germany is expected to stay attractive to Chinese investors who seek to gain access to advanced technologies and know-how in the future.

Suggested Citation

  • Xinming Xia & Wan-Hsin Liu, 2021. "China’s Investments in Germany and the Impact of the COVID-19 Pandemic," Intereconomics: Review of European Economic Policy, Springer;ZBW - Leibniz Information Centre for Economics;Centre for European Policy Studies (CEPS), vol. 56(2), pages 113-119, March.
    • Handle: RePEc:spr:intere:v:56:y:2021:i:2:d:10.1007_s10272-021-0962-0
    DOI: 10.1007/s10272-021-0962-0
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    References listed on IDEAS

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    4. Child, John & Rodrigues, Suzana B., 2005. "The Internationalization of Chinese Firms: A Case for Theoretical Extension?1," Management and Organization Review, Cambridge University Press, vol. 1(3), pages 381-410, November.
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