German Chancellor Angela Merkel believes that trade disagreements between China and the US affect the whole world, and hopes that they will be resolved in the near future.

Her remarks came at the beginning of official negotiations with Chinese Prime Minister Li Keqiang in Beijing, Reuters reported. 

“We hope that there will be a solution in the trade dispute with the United States since it affects everybody” in the world, Merkel said.

Germany's economic growth slowed due to weaker exports in the second quarter, and leading economists say it is facing recession as German companies are caught in the crossfire of the US-China trade war.

Merkel wants to start a new stage in relations between the European Union and China. She insisted on a European investment deal with Beijing, despite Washington resorting to tariffs to counter China’s ‘unfair’ trading practices. Washington’s European allies, including Germany, largely share his criticism of China but do not approve of Trump’s tariff war policy.