German Chancellor Friedrich Merz has kicked off his visit to China in an effort to improve trade relations and deepen bilateral cooperation.

In a meeting with Chinese Premier Li Qiang in Beijing on Wednesday, Merz said that Germany sought to build on the decades-old economic ties with China, while emphasising the need to ensure fair cooperation and open communication.

“We have very specific concerns regarding our ⁠cooperation, which we want to improve and make fair,” said Merz, in an acknowledgement of increasing competition faced by Germany’s manufacturing sector from Chinese rivals.

Li, who met Merz shortly after his arrival in Beijing’s Great Hall of the People, called on both sides to work together to safeguard multilateralism and free trade, in a reference to U.S. President Donald Trump’s tariff policy that has upended the global trading system.

“China and Germany, as two of the world’s largest economies and major countries with important ‌influence, should strengthen our confidence in cooperation, jointly safeguard multilateralism and free trade, and strive to build a more just and fair global governance system,” Li said.

During the meeting, representatives from both sides signed several agreements and memorandums, including on climate change and food security.