German Chancellor Angela Merkel is in Beijing as she continues a visit to China aimed at boosting ties between the two countries. Katie Sargent reports.
German Chancellor Angela Merkel is on a business-boosting trip to China, but the visit is being overshadowed by spying allegations involving the United States. Merkel was asked at a news conference in Beijing about allegations that a German man worked as a double agent for U.S. intelligence. The man was an employee of Germany's B-N-D foreign intelligence agency and reportedly admitting passing documents to a U.S. contact. (SOUNDBITE) (German) GERMAN CHANCELLOR MERKEL, SAYING: "On the question of a German man working as a double agent for U.S. intelligence department, we have already opened an investigation. If the reports are correct it would be a serious case. If the allegations are true, it would be for me a clear contradiction to what I consider to be trustful cooperation between agencies and partners." Meanwhile Merkel continues to build ties with China. This is her seventh visit since she took office in 2005, and it included a stop in the southwestern city of Chengdu where she met German business people and local officials. Merkel is traveling with a business delegation from Germany, and on Monday oversaw the signing of agreements involving the sale of 100 aircraft from the Airbus group's helicopter division to Chinese companies.