Germany is seeking closer trade cooperation with Japan as tensions over economic security and China’s global influence shape relations between major industrial powers.

German Chancellor Friedrich Merz has called on Japan to support closer trade cooperation, as China urges Berlin to take a “rational” approach to its relationship with Beijing.

The diplomatic exchanges highlight growing efforts by major economies to strengthen trade partnerships, protect strategic industries and navigate increasingly complex economic relations with China.

Germany and Japan are both major export-oriented economies with significant interests in manufacturing, advanced technology and secure supply chains. Closer cooperation could help the two countries strengthen their economic resilience and coordinate their approach to international trade challenges.

China’s appeal to Germany reflects Beijing’s interest in maintaining stable economic ties with Europe’s largest economy. Germany has substantial commercial links with China, making the balance between economic cooperation and strategic concerns an important issue for Berlin.

The discussions also underscore the wider challenge facing governments seeking to diversify trade relationships while avoiding unnecessary disruption to existing markets. For Germany, closer cooperation with Japan could offer an opportunity to expand partnerships in Asia while managing its longstanding economic relationship with China.

As geopolitical competition increasingly influences trade and investment decisions, the positions taken by Germany and Japan could have implications for supply chains, industrial policy and economic relations across Europe and Asia.

The key question is whether Germany can deepen cooperation with Japan and other partners while maintaining a workable relationship with China amid mounting strategic and economic pressures.

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