december 28th china marked the 40th anniversary of its economic reform program president xi jinping announced that the efforts would continue. the kind of august there is no text book for reform and development job and no one is in a position to dictate to us what we should or should not do. joe she. she's warning was almost certainly directed at u.s. president donald trump who has criticized china's trade policies since the day he took office. they engage in relentless product dumping. forced. technology transfer and the theft of intellectual property but those days are over. the united states has just announced tariffs on another $200000000000.00 in chinese made goods for a total so far of $250000000000.00 china's market distortions. and the way they deal. cannot be tolerated. the tensions between washington and beijing have put germany in a difficult position at the 21000 munich security conference chancellor merkel try to explain why china behaves the way it does. and there's not enough of that when i go to china officials tell me we were the world's leading economy for 1700 years until about 300 years ago. we are simply returning to our rightful place in the world but you haven't been aware of that for the past 300 years and in that. in 2018 the german industrial firm house muff i celebrated its 180th anniversary with a big party in munich where its headquarters are located. my is one of the world's leading manufacturers of machinery for the production and processing of plastics and rubber the company has a rich and varied history. but costs muffins owners are not german the firm was acquired by a chinese conglomerate in 2016. the price tag of nearly 1000000000 euros. ren gentian is the founder and chairman of kemp china the state owned company that bought cars modified this is not the 1st time that his corporation has taken over a foreign firm. rendel leaves that cost muff i will help his company boost its share of the world market. only you can yes already come across modifies turnover in china grew by more than 70 percent in 2017 compared to 2016. colossal mafia they have created more jobs paid more taxes and lived up to their responsibilities as a respected major company this shows that our decision to acquire a stake in krauss maffei was the right one of them from a strategic standpoint that. afterward represented a gift to function c.e.o. of the cosmos i grew up a copy of a famous bronze statue that has become something of an emblem of china the flying horse of gunslinger represents an ideal speed and i hope that cars muff i will continue to gallop along its successful course. i. can china. china is a state owned corporation that aims to be competitive in world markets but they also realize that this is difficult to do without partners like macof country alicia's colleague do the i'm sure that some of my coworkers were really worried but i figured it can't be worse than if the investors were from the us were elsewhere in north america you missed one convert that on a side. the main customer for factory is currently located in the district of munich the company has changed hands several times over the past 2 decades during that period it was owned by 3 different north american private equity firms they withdrew assets from the company even the grounds which then had to rent back. little investment was carried out. in 2012 the last owner bought counts my 5 for 568000000 euros and sold it for years later to ken china for 925000000. the company was founded in 838 and specialized in building railroad locomotives and later trolleys and buses. during world war 2 cars built armored vehicles and continued to do so until the weapons division was sold off in 1999. since then the company has focused on its core business manufacturing machinery for plastics processing. its list of clients includes auto makers the packaging industry and the medical sector. chinese companies have been acquiring western technology and distribution networks through investments in other german businesses such as deutsche bank. and dime learned the automaker does excellent business in china. the strategic thinking behind these investments became clear and 2016 when a chinese firm bought kuka one of the world's largest producers of industrial robots for about 4500000000 euros it was a wake up call for the german government which tried unsuccessfully to stop the deal. of those who are going to ensure that the sale of kuka got their attention. to the order and china will soon overtake the u.s. as the world's largest economy or into so we can expect that there will be more of these acquisitions those that will see a few media combs china's volume of investment in germany is about 3 times that of germany in china so you bought the chorus of us will be gathered dust you know appear to invest in is not true so china's image in the west. it's become more complicated. because no one had thought that a communist country could achieve this level of economic development you. just u.s. president trump has railed against what he calls unfair chinese trade practices and retaliated with terrorists somebody said it's from fred well this isn't my trade war this is a trade war that should have taken place a long time ago by a lot of other president so somebody has been somebody had to do it. i am the children one somebody had to do it so hard to take you know in china object you know in china on trade and you know what we're winning because we're the piggyback where the one that all these countries including the european union wants to run at takes advantage of. the german chancellor merkel visited president trump for the 1st time in march 2017 china had recently replaced the u.s. as germany's leading trading partner and trump was not happy about that. nor did he appreciate the fact that merkel had praised his opponent in the 26000 election hillary clinton. trumpet also sharply criticized the chancellor's policy on refugees. at a white house press conference relations between the 2 leaders appeared strained. waving. her to the united states or her over her. medical put on a brave face it's been you know it's the women's council and in my capacity as chancellor i'm here to represent german interests by him it implies that the president will of course represent american interests because we will do that during our discussions is good and i'd be pleased to say that i've received a warm and friendly welcome. well not see him fund border. the united states has been treated very very unfairly by many countries over the years and that's going to stop we're a very powerful company country where a very strong very strong country will soon be. at a level that we perhaps have never been before our military is going to be strengthened it's been depleted. to a comma homs at times but basically since the end of world war 2 the us has been the undisputed leader of the world economy it was willing to sign the americans designed the great institutions of that economy like the deputy o. the world bank and the i.m.f. will they make played a big part in shaping the course of economic reforms but in the future they'll have to share that leading position with china. in the business and this is the amir us $100.00 confident this is much more than a trade dispute. it's a competition between systems it's about it's dominance it's about influence it's about the future. over the past 4 decades china's communist led economy has made remarkable progress millions of people have been lifted out of poverty these developments have changed the western perception that only democratic states can develop a thriving economy. in december $2800.00 china's leaders gathered in beijing to mark the 40th anniversary of the start of the country's economic reforms they sang the national anthem which is called the march of the volunteers the anthem begins with the words arise you who refused to be slaves 40 years earlier china's paramount leader deng xiaoping had taken the 1st steps towards the creation of a market economy. some of the people who took part in that effort were honored here . but the project is still far from complete the government has set itself the goal of becoming the world's leading economic power by 2049. still president xi praised the results that have been achieved so far. the mission which ensures that over the past 40 years we have improved the standard of living of our people through economic development we have brought 740000000 chinese out of poverty we have reduced poverty by a 94 percent this is a miracle in the struggle against poverty. this is the city of shenzhen in southern china population about 12000000. the multinational technology company huawei has its headquarters here one way is the world's 3rd largest manufacturer of smartphones and is playing a key role in the development of 5 g. technology the next generation of mobile networks. one way was founded in 1987 by renzo fe a former military engineer. his life reflects not only the successes but also the difficulties that the people's republic of china has experienced since its foundation. or please watch when you shall talk the most vivid memory of my childhood is one of hunger so we never had enough to eat so those were difficult years you go through or is short i can't dreaming that i would eat a loaf of bread and then another and another and dumplings to wash and shot and every night before i fell asleep i think about eating street not about school or my future i just wanted to have a full stomach for once. shots and good support you suppose but. ren's parents worked as teachers in the southern chinese province of. he's the oldest of 7 children. here are careful where men are. men as they don't proclaim the creation of the people's republic of china on october 1st 1949 after years of civil war and the conflict with japan. in 1958 mao's efforts to quickly transform china's economy from one. based on farming to one based on industry resulted in a famine that killed at least 18000000 people. in 1966 maui launched the cultural revolution to purge chinese society of capitalism and traditionalism. watch a whole bunch eat off the guy didn't know what to do back them yet coming on the one hand i wanted to go out onto the street and demonstrate like the others get back to use our jets here but at the same time so i was worried about my family solution we were in a very difficult position charge him dollars or fortune or my father was arrested during the cultural revolution as an alleged capitalist to do their measures were by the old fart has locked him up an account that. people used cowsheds as jailers for people they considered so class animals spotted with each week. in the 1960 s. ren studied engineering at university he later joined the people's liberation army as a specialist in information technology. now saddam died on september 9th 1976 the way was now clear for some of the party leaders to start experimenting with economic reform. and old associate and sometime adversary of mao's and veteran communist party leader deng xiaoping soon emerged as china's de facto leader he prevailed in the inner party conflicts and rehabilitated victims of the cultural revolution. this would order the truce you know on of course this was a major turning point for china in spitzer especially for the political elite put it is should return de. to do quote after the cultural revolution from faith almost lost hope for a lot bigger more because of the maoist oppression and revolutionary mobilization that it swept the country more land china was on the verge of collapse and people were simply exhausted. didn't. want to need to go quite yet we were finally accepted as sons of china. but you know being jerry danger will cain had said in a speech that we did indeed belong to the working class. we were delighted and thrilled to hear that he meant that we were no longer capitalist intellectuals but true members of the working class kids of winter up here you know. took a pragmatic approach to communist ideology and introduced what became known as the socialist market economy he said of a series of special economic zones to encourage investment by western companies. summarized his policies by quoting a proverb it doesn't matter whether a cat is black or white it catches mice it's a good cat. his reforms mark the rise of china in a kind of limited test of capitalism as an extended production site for the west. or war with marisha when i came to shan zen in 1904 i quickly realized that i simply could not deal with a new market economy system that kids hardly a working in military production. and then had to switch to a market based system. i was still stuck in the past but it was difficult for me to understand why i should now try to make a profit and a large profit at that age just to so we should see you know us allies strong china's achievement was not due exclusively to the efforts of the communist party storm from cause of quote it was brought about by a grand coalition of chinese national communists and global capitalism under the leadership of deng shopping or order to fuel and today almost all major western companies have a presence in china. this isn't a name international. this is the facts about unplanned infoshop on one of the company's 4 new factories in china 600000 electric vehicles. to be built in the country every year. the w. executives back in germany have decided to make a major investment in china because they believe that this is where the company's future will be decided. china accounts for 40 percent of the use worldwide sales another factor is the automation of production 5 g.e. or 5th generation technology allows machines to communicate with each other more quickly. that increases efficiency and cuts production costs. in germany relies heavily on the chinese market with its 1400000000 consumers and dynamic economic growth of china is a key player and international trade the activity but if you get into that market you can become dependent on it up and you can you know called sounding good german c.e.o.'s are trying to figure out how they can improve sales without being too vulnerable to the political processes in this one market. moccasins or. that. when shanghai hosted the 1st china international import expo in 2018 germany was represented by 170 different companies china had become germany's most important trading partner in 2018 china export of 106000000000 euros worth of goods to germany and imported 93000000000. nearly 1000000 jobs in germany depend on trade with china. so both countries are concerned about the ongoing trade dispute between beijing and washington. they're opposed to what they consider unilateralism and protectionism. starting in the late 1980 s. german companies invested heavily in. china dortch is the return on those investments was 25 percent more substantial than anywhere else and china is now buying a few choice german businesses. but investing in valuable foreign companies is just part of china's strategy it's also about dominance and global trade routes infrastructure and geopolitics. this container ship is on its way to the port of hamburg. the captain knows the route well he's been sailing between shanghai and hamburg for 20 years but during that time his cargo ships have grown ever larger. tug boats are on hand to guide the ship called the libra on the last few kilometers of its journey. the ship is almost 400 meters long and 59 meters wide the elba river which flows through hamburg into the north sea isn't deep enough to handle such huge vessels. for example can carry more than 20000 containers. the port of hamburg has started dredging the riverbed much of the cargo that arrives here comes from the far east almost $9000000.00 containers are offloaded here every year and about a 3rd of them come from china. but hamburg is just a small part of a new chinese strategy that president xi jinping has been instrumental in pushing worldwide known as the belt and road or new silk road project it involves massive investment in infrastructure projects. beijing has already convinced more than 60 countries to take part in this initiative many of them like the idea of being part of an expanded global trade network expected to cost at least $1.00 trillion dollars it includes overland corridors pipelines and shipping lanes. part of the land network would extend from china through central asia and russia all the way to europe some european governments have expressed concern about the new silk road critics claim that china by making huge loans to some participating countries is attempting to gain economic or political influence. some european politicians say the west needs its own international development strategy. it's a t.v. funny noise i use silk road project is not a sentimental reference to marco polo contrary to what some germans believe. this initiative is rather an effort to build a comprehensive system that is designed to shape the world in china's interest. i don't think we should criticize beijing for starting this project. they have the right to do so. because the problems of obvious that the west has no strategy of it's a reason for finding a new balance of global interests i don't know you but lost a bit frightened person safin. this is why always new research and development campus located near shenzhen it looks more like a small town that you'd find in europe not china. the company plans to transfer up to 25000 employees to this facility from its headquarters in the city. in $2171.00 way apply for more overseas patents than any other company and in 2018 generated more than $108000000000.00 in sales revenue. the german business daily 100 splatt has described one way as the undisputed construction company for the data highway duckie does the 34th when the china's huge investments particularly in research and development have given them real technology. advantages a lot of experts say that huawei simply offers better technology space so it is an illusion people b.c. traditions ago when skilled production professionals apply their experience to t. it creates the industrial internet. germany has a lot of strength in this sector and on the other hand they need the chinese market with its 1300000000 people initially. ranjan fe hopes to do even more business with german industry he believes that germany can help to develop applications for networked factories and cars. but is one way expands its influence in world markets it has made some enemies. the trump administration has called the company a threat to u.s. national security. the white house says that the chinese government could use huawei technology to spy on businesses and government agencies. the u.s. put the company on a trade blacklist. of we will send a clear message to our allies and a firm morning to our enemies and adversaries america is strong proud to term and ready and i might add when we're completed and it won't be that long we will be stronger than ever before by a lot. one way is not the only chinese company that the u.s. has banned from its markets there are more than 140 others on the list one way denies any wrongdoing and has filed a lawsuit against the u.s. government over a ban that restricts federal agencies from using its products. when you have the time i don't understand what trump is trying to do you sort. of a threat to win posed to us security for time. any market share in the united states so how can we be a security threat to war. i read that someone in the us congress said this is going to kill off. some law. washington has pushed germany to take a tougher line on huawei technology so have some senior members of the german parliament and intelligence community. the chancellor merkel rejects the idea. by the american we did today the traditional world order is under tremendous pressure is if the