VW factory fears renew concerns about China exposure of German carmakers

“The second China shock will play out differently around the world because for many economies, like Germany, it will be associated with the loss of export markets, not just a surge in imports,” said Sander Tordoir, chief economist at the Centre for European Reform in Berlin.

“This process is already well under way. German exports to China as a share of German GDP have been falling for the last two to three years, already representing an approximate 0.5 per cent loss for the German economy, and there is much more room for decline,” he said.