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DW Chinese: German Government Will Tighten the Rules on Acquisitions from China

Deutsche Welle Chinese recently reported that German Federal Minister of Economic Affairs and Energy, Peter Altmaier, said not long ago in Berlin that, since more and more Chinese investors have shown an interest in acquiring German companies, the government has been considering tightening up its foreign investment policies. Traditionally, the government would only interfere with a foreign acquisition when the deal was above 25 percent of the total market value of the company. The German government is now considering lowering the veto threshold to 10 percent. In the past, the German government typically stepped in when public security was at risk. Now, more and more consideration is given to the strategic position of the company, as well as whether the buyer is from a European Union member country or not. It is notable that Minister Altmaier picked up on this topic right before German Chancellor Angela Merkel’s visit to the United States.

Source: Deutsche Welle Chinese, April 27, 2018