China and Germany are enhancing their bilateral business and technology ties, with a notable shift in expertise and innovation now moving in both directions. This development was highlighted in a recent joint research report presented at the China-Germany (China-Europe) Hidden Champions Forum 2026, held in Beijing’s Shunyi district. The forum gathered over 400 business leaders and representatives from Europe and China, underscoring the growing collaboration between the two regions.
The report reveals a significant interest among European companies to expand their operations in China. Approximately 38 percent of the European firms surveyed plan to increase their research and development investments in the country. Moreover, 40 percent of these companies intend to grant their Chinese branches more autonomy from their German headquarters, indicating a deepening of their operational engagement within China.
On the flip side, Chinese companies are also making significant strides in Germany. Leading Chinese electric vehicle manufacturers, including Li Auto and NIO, have established research and design centers in Germany, exemplifying the increasing two-way technological collaboration between the two nations.
In addition to the report’s findings, the forum saw the inauguration 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 join Beijing’s economic and technological cooperation zone in Shunyi, further fostering international business connections.
Tang Wenhong emphasized Beijing’s commitment to supporting the collaboration between Chinese and German enterprises. The city’s efforts are geared towards attracting more innovative companies, reinforcing its status as a global science and technology hub.