German companies in China are less confident about their performance this year but most remain optimistic in the future, a survey by the German Chamber of Commerce in China showed. This year is evaluated as “the most economically difficult year” in recent years, the Chamber said in its Business Confidence Survey, for which it interviewed 426 German companies in China. A record one in four respondents expect falling profits in 2016, while 39% forecast improved performance, the survey revealed. For next year, 46% of respondents said they are more optimistic and expect their company’s turnover and profit to grow strongly, and 36% said they are neutral. “The optimism reflects the belief of German companies in the Chinese market and its recovery,” said Bettina Schoen, Chairwoman of the Chamber’s board. The survey also found that 54% of respondents said they are very positive or positive about the “Made in China 2025” strategy, similar to German Industry 4.0, with 32% being neutral. Some German businesses “consider the Made in China 2025 strategy to help improve their performance here.” Rising labor costs and shortage of qualified staff are the main woes for most German firms in China, the Shanghai Daily reports.