China and Germany are advancing their business and technology partnerships, with innovation and expertise now being exchanged more symmetrically between the two nations, a recent joint research report has revealed. This shift marks a significant change from the past, when the flow of technological expertise was largely from Germany to China. The findings were presented during the China-Germany (China-Europe) Hidden Champions Forum 2026, held in Beijing’s Shunyi district, where over 400 leaders and executives from European and Chinese companies gathered.
The report highlights a growing intent among European companies to expand their operations within China. Approximately 38 percent of the European firms surveyed expressed plans to increase their investment in research and development in China. Additionally, 40 percent of these companies are considering granting more operational independence to their Chinese branches, allowing them greater autonomy from their German headquarters.
On the flip side, Chinese companies are also making significant inroads into Germany. Notably, major Chinese electric vehicle manufacturers, such as Li Auto and NIO, have established research and design centers in Germany. This development illustrates the burgeoning two-way technological collaboration between the two countries.
In conjunction with these developments, the forum witnessed the inauguration of a public service station aimed at assisting businesses in overcoming technical trade barriers. Furthermore, a new partnership initiative was launched to encourage German and European companies to engage more actively with Beijing’s economic and technological cooperation zone in Shunyi.
According to Tang Wenhong, Beijing is committed to enhancing the collaboration between Chinese and German businesses. The city aims to attract more innovative companies to reinforce its status as a global hub for science and technology. This strategic effort underscores China’s ambition to foster an environment conducive to international technological and business cooperation.