When Germany and China established diplomatic relations 35 years ago, they put in motion a commercial cycle that has produced stunning results.

In 1972, German firms exported goods worth $270 million to China. In 2006, the figure stood at $27 billion, a 100-fold increase. In 1972, Germany imported $175 million worth of products from China, while in 2006 the figure came in at around $48 billion, more than a 200-fold increase.

The products of some famous German companies are regarded by the Chinese as being almost local, while Germans commonly buy television sets, clothing, or cameras made in China.

German direct investment in China is the highest among European nations, and Chinese companies are increasingly investing in Germany.

In fact, since China began to open up about 30 years ago, Germany has clearly been the country that has delivered the most crucial technologies to the nation.

As we look with pleasure upon our successes, we also contemplate how we can sustain them and develop our relations still further in the years to come.

Historical ties 

As early as 1957, German commerce had re-established its ties with the enterprises of the People's Republic of China through a trade agreement signed by the German East-West Committee and the China Council for the Promotion of International Trade (CCPIT).

In the early days, the great German trading houses of Hamburg and Bremen, some of which had been operating in China since the 1840s, also played an important role in representing German firms before they were able to have their own presence in China.

A highlight of the events that followed the establishment of diplomatic relations was the huge Techno Germa exhibition in 1975, which counted companies from diverse branches of industry among its contributors, and which reintroduced German technology to China.

From 1979, trade relations were supported by the German-Chinese Joint Economic Committee, established by the Chinese Ministry of Foreign Trade and the German Ministry of Economics.

It recently held its 13th session, fully exercising its task to help remove obstacles to the smooth development of trade through cooperation between government and industry.

Cooperation has come in many fields: medicine, chemicals, machinery, public transportation, automobiles, electronics, software, telecoms, and consulting, etc.

But above all, German enterprises have made a particularly remarkable contribution to the relationship by providing know-how to Chinese government and industry.

For example, in the legal realm, German attorneys provided their expertise for the development of the first, exemplary and joint venture contracts under the supervision of the governments of the two countries.