German Chancellor Friedrich Merz embarks on a challenging 30-hour visit to China on Wednesday and Thursday, aiming to address critical issues with the political leadership in Beijing and engage in business discussions in Hangzhou. This trip marks a delicate balancing act, as China is both a vital economic partner and a "systemic rival" asserting its global ambitions. Merz's agenda includes discussions on competitive conditions for German businesses, resource dependencies, and the war in Ukraine. His prior visit to India instead of China signals a strategy of "de-risking" and broadening Germany's international partnerships. German industry leaders are urging Merz to confront China on issues like overcapacity, market access, and export controls on rare earths, which China dominates in processing. Merz also hopes to leverage China's influence to help end the Ukraine conflict, noting China's continued support for Russia.