German direct investment into China has risen sharply this year, in a sign that companies in Europe’s largest economy are ignoring pleas from their government to diversify into other, less geopolitically risky markets.
Figures provided to the Financial Times by the Bundesbank, Germany’s central bank, show that German direct investments in China stood at €2.48bn in the first three months of 2024, rising to €4.8bn in the second quarter.
That brings the total for the first half of 2024 to €7.3bn, compared with €6.5bn for the whole of 2023.
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