Italy is trying to please the US by taking actions against Chinese companies

On August 12 local time, Bloomberg cited sources who said that the Meloni government is considering limiting Chinese investors' shareholding in major companies in Italy. The measures will involve companies considered to be of strategic importance, including private and state-owned companies, to avoid potential tensions with the United States.

This unnamed source said that Pirelli, a tire manufacturer, is one of the most notable examples in the Meloni government's plan. China's Sinochem Group holds 37% of Pirelli's shares. Due to Chinese ownership, Pirelli, which is the exclusive tire supplier for Formula 1, is facing potential sales restrictions in the United States. The company has tried to weaken the governance rights of Chinese investors.

The sources said that although Sinochem Group emphasized that its holding in Pirelli is a long-term investment, the Italian government is evaluating options to pressure Sinochem Group to sell its shares.

According to other sources, Pirelli is just one of the "most extreme cases" in the plan. The Italian government also hopes to exclude Chinese investors from CDP Reti SpA, a grid holding company. The sources said that CDP Reti SpA holds controlling shares in Italy's energy network, with 35% of the shares held by China State Grid Corporation, which has two directors who can influence decisions.

Ansaldo Energia SpA is one of the world's largest power generation equipment manufacturers. According to the sources, even though Shanghai Electric has reduced its stake from 40% to 0.5%, the Chinese background still hinders its participation in some U.S. power project tenders and bids.

On August 11, Lin Jian, a spokesperson for the Chinese Foreign Ministry, stated that Sino-Italian investment cooperation is mutually beneficial and does not target any third party or should be disturbed by any third party. The Chinese government has always supported Chinese enterprises to carry out international cooperation on the basis of market principles. It hopes that the Italian side will provide Chinese enterprises with a fair, impartial, and non-discriminatory business environment and effectively protect the legitimate rights and interests of enterprises.

Original: www.toutiao.com/article/1840322817872968/

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