The expression on Malcolm Turnbull's face said it all as the senior minister hosted German Chancellor Angela Merkel on a tour of a research facility the Abbott government has cut funding to.

The decision to highlight the work of National Information Communications Technology Australia (NICTA) with a tour of a Sydney facility on Monday was a source of some tension between the ­organisers of the Chancellor's visit and Prime Minister Tony Abbott's office, according to the Australian Financial Review.

Germany's Chancellor Angela Merkel looks at a drone prototype during a tour of NICTA's Future Logistics Living Lab. Credit:Reuters

Mr Turnbull and Industry Minister Ian Macfarlane accompanied Dr Merkel as she was shown a display of projects run collaboratively with German companies and research institutes.