German Firms’ Outlook in China Improves Despite Geopolitics

German businesses’ outlook on the Chinese economy improved from last year despite the Iran war impacting their operations and persistent geopolitical tensions.

Nearly 40% of the more than 210 members of the German Chamber of Commerce in China surveyed in April predicted an improvement in China’s economy over the next six months, up from 22% last year. Over a third of companies reported improving business conditions, up from 19% in 2025, according to a report released on Tuesday.