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German enterprises in Taicang showcase supply chain heft

By Ren Qi | China Daily | Updated: 2026-03-03 10:12
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German executives from CIT (Taicang) Automotive Technology Co Ltd inspect a production workshop in Taicang, Jiangsu province, on Feb 25. JI CHUNPENG/XINHUA

The China-Germany (Taicang) SME Cooperation Demonstration Zone in Taicang, Jiangsu province, showcased its pivotal role in bilateral supply chain integration at a high-level economic meeting in Beijing recently, highlighting achievements in sectors ranging from humanoid robotics to zero-carbon development, said a local official.

Zhang Zhan, vice-mayor of Taicang, told China Daily that the city has evolved into the "hometown of German enterprises" in China, hosting over 560 German firms after more than three decades of dedicated cultivation.

Zhang attributed this success to a "German-style" focus and patience, noting that the city has created a service brand ensuring investors can "enter, stay, and thrive" through precise investment promotion and an optimized business environment.

He added that the integration of industry and city life is further supported by a dual-system vocational education model and a German-style living environment.

"Taicang's practice proves that high-standard opening-up relies on market-oriented, law-based, and international standards," Zhang said. "By deeply binding domestic and foreign industrial and value chains, foreign capital becomes a key driver for local industrial upgrading, creating a virtuous cycle of mutual benefit."

During the China-Germany Economic Advisory Committee meeting held at the Great Hall of the People on Wednesday, Taicang presented a strong track record, with multiple projects selected for the national cooperation list. The city is currently deepening the demonstration zone's construction to foster innovation in smart manufacturing, the digital economy, and service trade, aiming to enhance strategic trust between China and Europe.

A key focus of this cooperation is green development.

The Taicang High-Tech Industrial Development Zone has signed an agreement with Germany's GIZ, a sustainable development organization, to build China's first Sino-German dual-certified zero-carbon park. The launch ceremony was on Friday.

The initiative builds on a solid foundation. In 2021, a joint energy efficiency pilot program in Taicang was recognized by national authorities in both countries, successfully saving over 25,000 megawatt-hours of energy and reducing carbon emissions by more than 38,000 metric tons annually.

The upgraded cooperation will focus on top-level design and digital energy management. Crucially, the park will establish a carbon footprint accounting system for export-oriented enterprises to help them obtain ISO 14067 certification.

Products emerging from the park will effectively carry a "green passport" recognized by both nations, helping companies navigate trade barriers such as carbon tariffs and providing a "Taicang Model" for green industrial transformation nationwide.

Business sentiment on the ground remains robust. At Brose Taicang Automotive Systems Co Ltd, smart production lines are operating at full capacity to meet a full schedule of orders.

Thomas Herrmann, general manager of Brose Taicang, expressed confidence in the outlook. "We want to focus more on the Chinese market this year," Herrmann said. "In the future, we will expand local production and bring more production lines here. We are currently planning new investments."

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