Germany has blocked the sale of a significant portion of Hamburg-based logistics company Zippel to China's state-owned shipping giant COSCO, citing security concerns. The decision reflects the EU's broader effort to scrutinize and potentially restrict Chinese investments in strategic sectors to safeguard supply chains.
The German government's decision to block the COSCO acquisition highlights increasing European efforts to protect critical infrastructure and supply chains from foreign state-backed influence, potentially impacting future cross-border investments in strategic sectors.
Germany has blocked the sale of large parts of Hamburg logistics company Zippel to China's state-owned shipping giant COSCO due to security concerns, according to a spokesman for the German Economy Ministry. The decision, confirmed after a Cabinet meeting, aims to prevent increased dependencies and safeguard the resilience of Germany's and the EU's supply chains.
Zippel, which transports goods via train, ship, and lorry and has approximately 350 employees, operates in a sector deemed strategic. While Germany welcomes foreign investment, the government stated that certain investments may threaten national security.
The move aligns with a broader trend of the European Union tightening scrutiny on investments from China in sensitive industries.
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