German Export Machine Runs on China Risk

The European Economy Podcast with Fexingo: ECB, Eurozone, and Continental Markets · May 22, 2026 · 8m · transcript

German exports hit $1.9 trillion in 2025, but almost 8 percent still goes to China — and that number is down from 2022. Lucas and Luna examine how Europe's largest economy is rebalancing its trade exposure as geopolitical tensions mount. With VGK up 3.5 percent in the last five days and the euro slipping to 1.16 against the dollar, they ask whether the diversification is real or just window dressing. A deep dive into the machinery sector, where companies like Siemens and Volkswagen are splitting supply chains — and what the 'China plus one' strategy means for European suppliers…