Merkel Advises Europe Against 'Complete Isolation From China:' FT

German Chancellor Angela Merkel said Europe should stop viewing China as a systemic rival and avoid coming “under pressure between America and China.”

What Happened

Europe should maintain a close relationship with China and avoid involvement in the ongoing U.S.-China trade war, said Merkel in an interview with the Financial Times.

Germany and Europe should definitely “ensure that trade relations are fair," but at the same time should not “dismantle all interconnected global supply chains,” said Merkel.

“In my opinion, complete isolation from China cannot be the answer,” she added.

Merkel also advised against “regarding China as a threat simply because it is economically successful,” and said China’s success is mainly driven by their “hard work, creativity and technical skills.”

Merkel’s Views on Brexit and the Future of Europe

The German Chancellor said Brexit should be a “wake-up call” for the European Union as European countries need to strengthen their collaboration on issues like defense and technology.

“I see the European Union as our life insurance. Germany is far too small to exert geopolitical influence on its own, and that’s why we need to make use of all the benefits of the single market,” said Merkel.

With the U.S. focus on Europe declining, European countries, especially Germany should ramp up efforts to make Europe a more “attractive, innovative, creative, a good place for research and education,” she said.

Europe’s reform initiatives must continue, and the EU should develop its own chips to avoid reliance on foreign technologies.

“I believe that chips should be manufactured in the European Union, that Europe should have its own hyperscalers and that it should be possible to produce battery cells,” said Merkel.

Photo Credit: Public domain photo via Wikimedia.