BERLIN: Germany is seeking tighter control over foreign investment in European companies, in a sign of a growing protectionist reaction to China’s appetite for overseas acquisitions.
Economy Minister Sigmar Gabriel on Monday reopened a review of the takeover of Aixtron SE, which supplies equipment to the semiconductor industry, by China’s Grand Chip Investment GmbH. That follows calls by Gabriel, who is also Chancellor Angela Merkel’s deputy, for European Union measures to give national governments more powers to block or impose conditions on shareholdings of non-EU companies.
While Merkel hasn’t publicly backed her vice chancellor’s push, Gabriel’s proposal reflects a growing backlash within her government to unfettered Chinese investment in Europe’s biggest economy following the purchase of German robot maker Kuka AG by China’s Midea Group Co. Gabriel has found an ally in EU Digital Economy Commissioner Guenther Oettinger, a Merkel appointee who’s a member of her party.
