Biggest Chinese Investors in Europe
Europe has always been an important site for Chinese investments. The two have been consistently trading partners for years, and since 2008, China’s hold in Europe has only increased. Chinese FDI in 2016 touched $42 billion from $840 million in 2008.
Mapping Chinese Investments in Europe
Chinese investors’ interests have been mostly in technology, green energy and infrastructure. As of 2019, Chinese investments in Europe amount to a whopping $348 billion. China is investing readily in Germany, the UK and France. Poland is also an important receiver of Chinese investments. According to a study by Bloomberg, China has overtaken more than 360 companies in Europe. It also has important stakes in airports, wind energy, and even soccer teams. While several large companies, including government enterprises, have invested huge sums of money, there have also been several smaller investments – mostly in infrastructure, IT, and electronics. Europe has become an important playing ground for China since the economic depression of 2008. The reduced value of the Euro made it easier for Chinese investors to pitch in. Besides, the stable political climate of European nations is an added factor. Euro-China relations have always been more peaceable than their relations with the US. This has added to Chinese interest in Europe.
Let’s take a look at some of the biggest Chinese investors in Europe.
Biggest Chinese Investors in Europe
1. COSCO: The China Ocean Shipping Company has a 67% stake in Greek port Piraeus. This is one of the eight European ports it controls. It is looking to expand into Hamburg. COSCO also has stakes in Belgium’s Antwerp Terminal and CSP Zeebrugge. In 2020, it controlled about 124 million TEU
2. Zhejiang Geely Holding Group Co: The Zhejiang group has a $9 billion stake in Daimler AG. Daimler is more popularly known as the parent company to Mercedes-Benz. Not just this, Zhejiang Geely also owns Swedish Volvo. In 2020, the group’s sales exceeded 2.1 million units. Within Geely’s auto group, we can also find popular brands like Lotus, PROTON and Geometry.
3. ChemChina: ChemChina made headlines in 2016 when it announced its acquisition of Swiss pesticide company Syngenta. This was a $43 billion Many have called this sale a failure, but ChemChina’s Syngenta also recently bought Italy’s Valagro. Valagro is a biologic group whose products are aimed at crop improvement. It is assumed that ChemChina’s large investments are because China aims to establish complete food security in the country.
4. Midea Group Co: A large part of Kuka AG was acquired by the Midea Group in 2016. These shares amounted to about 86%. Kuka is a robotics and factory automation industry. China’s investment in futuristic technology of this sort is indicative of its long-term plans in Europe.
5. CRRC: China Railway Construction Corp. is the world’s largest manufacturer of rolling stocks. In 2020, it acquired a 75% stake in Spanish construction giant Aldesa for EUR 256 million. CRRC Zhuzhou purchased German railways company Vossloh Locomotive. It is now all set to provide a zero-emission locomotive to Rotterdam in the Netherlands.
Conclusion
China’s investments in Europe are aplenty and will see steady growth in the future. Despite opposition in Europe, China’s growth seems inevitable. Its influence and hold in Europe will increase as it acquires more and more important industries, especially in tech, infrastructure and the automobile industry.