Singapore © Fotolia/SeanPavonePhoto

Asia-Pacific: Important economic partner for Germany

Asia-Pacific will continue to be the most important growth region for German businesses in the future. In addition to China the markets of the ASEAN region and India are attractive due to their increasing consumption-oriented middle class and stable growth forecasts. Partnerships with high-technology countries such as Japan, South Korea and Singapore remain central anchors of the international commitment of German industry.

Asia remains the most important growth region for German companies in the world. Asia’s share of total German export amounted to 13.6 percent in 2015 (in comparison: America’s share of German export totaled 13.2 percent). The amount of German direct investments in Asia reached approximately 129 billion Euro at the end of 2014 (Deutsche Bundesbank).

Above-average growth in Asia

According to the Asian Development Bank (ADB), Asia’s emerging countries will grow on average 5.7 percent in 2016 and 2017. Nevertheless, these countries are facing decreasing growth rates due to the weaker Chinese economy. The countries of Southeast Asia such as Indonesia and Vietnam, whose wealthy and consumption-oriented middle classes continue to grow, are, however, responsible for positive developments. India’s growth increases slowly, while Japan has to make structural adjustments in order to be successful in the medium term.

New opportunities arise for the sale of high-quality products and cutting-edge technology for environmentally and resource-friendly production. Sustainability issues will play an important role in the region, which is confronted with a rapid urbanization.

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