# German makers expand China capex despite EU de-risking rules

*Industrial giants funnel €7.8 billion in reinvested earnings into local supply chains, creating a widening structural split with Brussels over economic security directives.*

**Published:** September 7, 2026  
**By:** Mina Okoro  
**Section:** Analysis & Comparison — Cross-border  
**Format:** Why It Matters  
**Confidence:** high  
**Source:** https://eastasiabrief.com/analysis/german-makers-expand-china-capex-despite-eu-de-risking-200  
**Publisher:** East Asia Brief (https://eastasiabrief.com/)

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## What to know

- German manufacturers accelerated capital spending across Chinese production hubs on Sept.
- The European Commission introduced economic security guidelines to curb strategic dependencies on Chinese manufacturing networks.
- Reinvested earnings drove corporate expansion rather than direct remittances from headquarters in Germany.

![Engineers review production schematics beside an automated automotive assembly line in a manufacturing plant. (AI-generated image)](https://eastasiabrief.com/media/2026-09-06-2fe35ef07463.webp)
*Engineers review production schematics beside an automated automotive assembly line in a manufacturing plant. (AI-generated image)*

German manufacturers accelerated capital spending across Chinese production hubs on Sept. 5, defying European Union de-risking goals as chemical and automotive groups directed reinvested earnings into domestic supply chains.

The European Commission introduced economic security guidelines to curb strategic dependencies on Chinese manufacturing networks. German industrial balance sheets show an opposite trajectory as major exporters anchor production facilities directly inside China.

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Cite as: East Asia Brief, "German makers expand China capex despite EU de-risking rules," September 7, 2026. https://eastasiabrief.com/analysis/german-makers-expand-china-capex-despite-eu-de-risking-200