Germany has once again intervened in a deal involving a Chinese company. As tensions over trade relations between China and the European Union continue to mount, the German government, citing security concerns, blocked the sale of the domestic logistics firm Zippel to China’s state-owned shipping group COSCO Shipping. According to Bloomberg, the German Ministry of Economics stated on October 7: “This acquisition would further deepen dependency and jeopardize the resilience of Germany’s and the EU’s supply chains.”
In fact, while the formal rejection was announced on October 7, signals of opposition had already emerged as early as late September. This was not an abrupt move but rather the culmination of a protracted review process, with the political decision now finalized. The planned acquisition involved COSCO Shipping’s attempt to acquire 80% of Konrad Zippel, a Hamburg-based logistics company. The firm is modest in scale—around 350 employees and a market share of approximately 1.5%—specializing in intermodal container transport from the ports of Hamburg and Bremerhaven to inland destinations such as Berlin and Leipzig/Halle.
Ironically, the transaction had already passed antitrust scrutiny. Germany’s Federal Cartel Office cleared the deal in February, concluding that COSCO Shipping’s maritime operations and Zippel’s inland logistics activities operated in different competitive spheres and thus did not pose a monopoly risk. What ultimately blocked the deal was a separate mechanism: foreign investment security review. Multiple ministries—including those responsible for economic affairs, foreign policy, defense, interior, and finance—opposed the transaction, while the Federal Office for the Protection of the Constitution issued warnings about so-called "cumulative acquisition risks." In short, antitrust regulators found no issue—but the door of national security remained firmly closed.
Germany’s latest intervention, while appearing to target a single logistics firm, reflects a broader strategic shift: transforming the abstract concept of “economic security” into a practical instrument. Germany does not seek to sever its economic ties with China entirely—German investment in China grew by roughly one-third in the first half of 2026—but it is increasingly reluctant to allow Chinese capital to gain control over key nodes in critical supply chains. German firms remain dependent on Chinese markets and supply networks, yet the German government expresses growing concern over such reliance. The result is a paradoxical posture: maintaining commercial engagement while simultaneously erecting barriers.
Original source: toutiao.com/article/1878396470318216/
Disclaimer: This article reflects the personal views of the author.