Economics

A Roadmap for China’s Crackdowns Can Be Found in Germany

  • Beijing follows Berlin’s lead on competition law and education
  • Medium-sized manufacturers are preferred to tech giants
Chinese and German flags fly in Beijing.

Photographer: Ed Jones/AFP/Getty Images

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Seeking to understand Beijing’s regulatory crackdown, some economists are looking over 4,500 miles away to an unlikely inspiration: Berlin.

China has turned from “the American way” to “the German way,” Chen Li, a senior strategist at brokerage Soochow Securities Co., wrote in a recent presentation that was widely shared on Chinese social media.