Contents

Ⅰ　General Report

1　Three Great Challenges for Germany in “Re-measuring the World”【Zheng Chunrong】／001

　　1.Challenges in Domestic Politics ／003

　　2.Challenges in the European Union／005

　　3.Challenges in the International Dimension／007

　　4.Epilogue／010

Abstract: After more than a year in office, the Merkel administration has not only promoted a number of domestic reforms, but also pursued new policies in the European Union and even in the international arena. However, in its pursuit of “re-measuring the world”, Germany faces three challenges: the problem of “regional disruption” in German society that is reflected in the movement “European Patriots Against the Islamization of the Occident” (“Pegida”), the danger of a “Grexit”under the new Greek government, and its response toward a number of international crises and conflicts such as the Ukrainian crisis. Up to now, the German people have approved of the administration’s response in the crises in Greece and Ukraine, but the improvements are only provisionalas the conflicts may escalate at anytime. Were this to happen, domestic conflicts and disputes could intensify,ultimately limiting the ability of the chancellor’s administration to act in its campaign of “re-measuring the world”.

Keywords: Germany; Re-measuring the World; Pegida Movement; “Grexit”; Ukrainian Crisis

Ⅱ　Politics

2　Review of the Performance of the Grand Coalition in Starting Year【Wang Guangcheng】／011

Abstract: The third cabinet of Federal Chancellor Angela Merkel formed another grand coalition of the CDU/CSU and SPD. Differing from the black-yellow coalition, which was always troubled by crises and conflicts, the black-red coalition has been working smoothly, though the coalition building was complicated and time consuming. It has thus provided the grand coalition government with favorable conditions for launching series of reforms in the beginning year. The SPD has played the role of reform engine during the coalition agreement negotiation and since the joint government. The work of the new government has gained considerable support, but has also been criticized by academic and economic circles. Among the three party leaders, special attention was paid to Sigmar Gabriel, who has been successfully transformed into a winner.

Keywords: Germany; Grand Coalition; Angela Merkel;Sigmar Gabriel

3　Change of Political-Party Landscape in Eastern Germany from the Perspective of Several State

　　Elections in 2014【Wu Huiping】／027

Abstract: The coexistence of normality and variability is the characteristic of the three state elections in eastern Germany 2014. Due to the bonus as governing party, the largest party in these each federal states remains the same. But the political-party landscape in eastern Germany was reshuffled in the fierce competition of the old and the new political forces. The ongoing fragmentation of the party system, decline of the FDP and rise of the AfD led to growing uncertainty and unexpected innovation of coalition-building. The CDU becomes the dominating party with limited coalition possibility because of the loss of its traditional coalition partner, while the SPD is flexible in coalition-building on an overall unsatisfying level. With the approaching of the 25th anniversary of German reunification, the Left Party, deep rooted in eastern Germany as the follower-party of the former DDR, became increasingly integrated into the mainstream of the political culture through its historical transformation. The rise of right-wing populist partyAfD led to subsequent impacts on the German politics and brings new challenges to the mainstream political parties.

Keywords: Election; Landtag; Political Party; Political-party Landscape; Germany

4　The New Trend of Social Thoughts in Germany Since the Great Recession【Yang Yunzhen】／044

Abstract: This article discusses trends of Germany’s social thoughts since the Great Recession from three aspects. Firstly, anti-globalization protest is considered to be the latest manifestation of a decades-old tradition of German left-wing social movements with an anti-capitalist agenda. Secondly, the German government has been vigorously challenged domestically during the process of offering financial aid to heavily indebted euro-zone countries such as Ireland, Portugal and Greece. The party AfD and eurosceptic sentiment rise during the process. Thirdly, the emergence of Pegida has also brought the growth of anti-immigrant sentiment. And the campaign rhetoric and demonstrations of Pegida has also brought new tension in the country and also shocked the public and the academic community. This paper concludes that the Great Recession and in particular the sovereign debt crisis provided a political opportunity for both the revival of left-wing anti-globalization movements and for the rise of right-wing groupings such as Pegida and the AfD. In short, Germany is experiencing a polarization of strong social movements and of anti-establishment critique.

Keywords: Anti-globalization Protest; Euroscepticism; Right-wing Populism; Anti-Islam

Ⅲ　Economy

5　The Position and Role of Germany in the Economic Development of European Union after

　　Sovereign Debt Crisis【Ding Chun, Li Junyang】／062

Abstract: After the period of European Sovereign Debt crisis, the German economy performs healthily: Economic growth is sustainable; employment continues to improve; prices are stable, fiscal budget is balanced and public debt decreases. However, some unrest appears behind healthy appearances, such as slight weakness of foreign trade; downside risks of economy; signs of deflation, etc. Under this background, the German government has implemented a series of economic policy adjustment: further promotion of industry 4.0, introduction of digital agenda, improvement of the energy policy, reform of the pension system, implementation of the minimum wage, etc. These measures have a positive effect on promoting economic growth and improving unfair income distribution in Germany, but they also contain the potential risks, such as increasing pensions may threaten the sustainability of the whole welfare system, etc.

Keywords: Industry 4.0; Digital agenda; Renewable Energy Sources Act; Pension reform; Minimum wage

6　Eurozone and Germany in the “Post-Crisis Period”【Zhu Yufang】／085

Abstract: It has been more than five years since the euro crisis broke out in Greece. At the beginning of 2015, Lithuania became a new member of the Eurozone. The newly appointed Prime Minister of Greece challenged openly the reform path of harsh austerity and frugality which advocated mainly by Germany, and the “Grexit” has become a hot topic again. It seems that the storm of the euro crisis has calmed down, but the shadow of the crisis is far from being dissipated. In view of these phenomena, this paper discusses the following questions mainly basing on the examples of Germany and Greece, the two most contrasting countries in the Eurozone: Is the situation in the Eurozone really has improved and is the euro crisis expected to pass over? Are the current measures of the EU aiming to overcome the crisis and stabilize the monetary union really reasonable and effective? Is the economic development of Germany stable and sustainable, and therefore able to a model for other euro countries?

Keyword: Euro Crisis;Eurozone; Germany; Greece;Economic Imbalance

7　Industry 4.0 in Germany: An Analysis on the basis of National High-tech Strategy

　　【Shi Shiwei, Kou Kou】／101

Abstract: “Industry 4.0” is an important part of the National High-Tech Strategy of Germany. They are active measures for German machinery and equipment sector to maintain the leading position in the international marketplace, facing challenges from internet and emerging industrial economies. Cyber physical system (CPS) and its using in internet of things and internet of services build the key technology of Industry 4.0. The vision of Industry 4.0 has been drafted by the German government on the basis of historically-proven effective institutions and successful experiences. As a concept of synergic innovation, its implementation relies highly on complex networks between large enterprises and SMEs, integration of all participants along the value chain and coordination between companies, government, universities and other research entities. This is the national innovation system of Germany with its characteristics of “coordinated capitalism”, which meets these needs best.

Keywords: Industry 4.0; High-Tech Strategy; Economic Policies; Innovation Promotion; Sino-German Innovation Cooperation

8　Update on Progress of German Energy Transition and Analysis of Its Action Plans

　　【Zhu Miaomiao】／123

Abstract: In 2014 the German government announced its first “Progress Report on the Energy Transition” and two action plans “2020 Action Plan on Climate Protection” and “The National Energy Efficiency Action Plan (NAPE)”. Although German Energy Transition has made significant progress, there is still deviation from the original goals. Should the federal government not take additional measures immediately in areas of energy consumption, energy efficiency and greenhouse gas emissions, it would be very difficult to achieve the stated objectives. The two action plans are aimed in implementing these necessary measures, but their effectiveness still requires further evaluation.

Keywords: Germany; Energy Transition; Renewable Energy; Energy Efficiency; Climate Protection

Ⅳ　Society and Culture

9　The Culture of Memory, War Responsibility,and Identity concerning World War I

　　—An Analysis of the Cultural Shaping of Germany in 2014【Hu Chunchun】／143

Abstract: The analysis focuses on one of the most important cultural issues of the year 2014 in Germany, i.e. the centennial of the outbreak of WWI. Therefore, the still existing differences between the cultures of remembrance and those of memory in Germany, France and other European countries have to be revealed and interpreted historically, which inevitably leads to an engagement with nationally-framed traditions of historiographical narration and writing. In the numerous Gesamtdarstellungen (overall presentations) of WWI of recent times in Germany, there is a Perspektivenverschiebung (shift of perspectives) ongoing which means departure from the German-centred narrative and integration of foreign ones, among which the British and the US narratives are the most valued. As an example for such an approach the astonishing success of the book of the year “Die Schlafwandler” (the German translation of “The Sleepwalkers”) of the Cambridge historian Christopher Clark thus became an extraordinary cultural phenomenon. The interpretation of the so-called “Clark effect” and the related public discussions and academic debates on war responsibility of Germany could be a clue to a deeper understanding of the historical consciousness and-as its construct-the identity of the German people.

Keywords: WWI;Culture of Memory;Overall Presentation;War Responsibility;Identity; Christopher Clark

10　Germany in the European Research Area【Yu Zhouming】／165

Abstract: The creation of an European Research Area (ERA) was initiated by the EU in 2000 with the purpose of increasing the integration of scientific research, technology and innovation capabilities within the EU and coordination of the research policies of EU and its member states. With its economic and technological strength, Germany plays an important role in the construction of the ERA. The ERA was planned to be founded in 2014. This paper introduces the development of the ERA, Germany’s performance in its construction, the ERA-strategy of German Government in 2014 and analyzes briefly Germany’s performance in participating in the construction of the ERA.

Keywords: European Research Area; German Research and Innovation System; Research and Innovation Policy

Ⅴ　Foreign Policy

11　An Analysis on Germany’s Principled Stand, its Domestic Divergences, and the Causes of

　　Divergences in Handling the Ukrainian Crisis【Dai Qixiu, Wang Zhiqiang】／185

Abstract: The Ukrainian crisis has entrapped the German government into a diplomatic dilemma over the issue of European security. On the one hand, Germany still regards the NATO as the guarantee of European security and the most powerful support to its policies on security and defense. On the other hand, through historical and practical experience, Germany realizes that it is unlikely to achieve a real security in Europe without proper handling of Russia. Currently, the Ukrainian crisis is being escalated even further as the Ukraine’s parliament passed an act to renounce its previous non-aligned status. This paper elaborates the efforts made by the German government to defuse the Ukrainian crisis with focus of analysis on the following points: the principled stand of the German government in handling the Ukrainian crisis, Germany’s domestic divergences on the crisis as well as the Germany’s policy towards Russia, the causes of these divergences, and the relevance between the framework of negotiation for the Minsk Peace Deal and the Charter of Paris for a new Europe.

Keywords: Ukrainian Crisis; Diplomatic Dilemma of Germany;Mechanism of the European Security; Germany-Russia Relations

12　Germany’s China Policy in Merkel’s Third Term and the New Trends in Sino-German

　　Relations【Liu Lirong】／200

Abstract: Both China and Germany have adjusted their foreign policy in recent years and have played active roles in international affairs respectively, which opens up new perspectives for the development of bilateral relations. The upgrade of Sino-German relations to a comprehensive strategic partnership has its focus in strengthening cooperation in security policy and international order. Although Merkel intends to seek a rebalancing policy in Asia in her third term, but compared to other Asian partners, the Sino-German relations are getting more active both in economic cooperation and political consultations. With regard to the balance problem of Sino-German “special” relations and China-EU relations, Germany avoids being a maverick player in EU’s China policy and is willing to take more responsibilities at the European level, while China hopes Germany could play a constructive role in eliminating differences between China and the EU. In addition, the Sino-German relations have been influenced by the transatlantic partnership and Asian regional politics.

Keywords: Sino-German Relations; China-EU Relations; Germany’s Foreign Policy

13　China’s FDI in Germany: Patterns, Trends and Impacts【Zhao Ke】／217

Abstract: In recent years China’s foreign direct investment (FDI) stock in EU, especially in Germany, has jumped impressively, which becomes a new bright spot and a new growth point in China-EU and China-Germany relations. China’s invests in EU do not aim to bottom-fish on base of European debt crisis in short term, but to extend the value chains, which makes a long-term investment. FDI is becoming a new engine for the development of China-Germany relations.

Keywords: China-Germany Relations;  FDI;Value Chains

14　An Analysis of the German-Vietnamese Relations from the Perspective of History and

　　Current Development【Chen Tao】／233

Abstract: In recent years, there have been closer and frequenter contacts between Germany and Vietnam and a strategic partnership has been set up between the two countries. Not only are there bilateral top-level visits, but breakthroughs are also achieved in the areas of military, economic and trade, cultural and educational exchanges. Especially since the second half of 2014, there has been an obvious tendency of a closer German-Vietnamese relationship. Following the “Return to Asia-Pacific region” strategy of the United States,developing economic-trade relations with Vietnam and maintaining peace of this region in the shadow of the Sino-Vietnamese maritime boundary disputes are the most important factors that promote the policy of developing relations with Germany’s Vietnam. Furthermore, the hundreds of thousands of former Vietnamese workers and students in the former German Democratic Republic have already become a bridge connecting the two nations. Thus the German-Vietnamese relations may well be further deepened in the near future.

Keywords:Germany; Vietnam; Strategical Partner Relationship; Sino-Vietnamese Maritime Boundary Disputes

Ⅵ　Data and Statistics

15　Data and Statistics【Zhu Yufang】／251

16　Chronology of Important Events in Germany【Zhu Zheying】／263

17　Epilogue／282