The European Parliament gave the green light to new measures that will allow for more intense screening of foreign takeovers in Europe’s strategic sectors, a move that comes amid heightened concerns about investments by Chinese companies.
“With this tool, Europe will be able to better shield itself,” said the French MEP Franck Proust as the file’s rapporteur. “Acquiring infrastructure, technologies or strategic interests is becoming a political objective,” he added).
The EU executive, which has pushed for the screening of investments, has become increasingly worried about the situation with Chinese company Huawei, which is in the process of building 5G mobile networks across the EU despite coming under intense scrutiny in recent months due to the company’s ties to China’s intelligence services.
European Commissioner for Trade Cecilia Malmstrom, underlined that”it is no secret that if you follow the debate in certain countries right now … there is a question on China. There could be other countries as well,” who also added that the final decision on whether or not to block certain legislation remains with the individual national governments within the EU.