LMC 2018

China’s Game in Europe: What Rules, What Stakes?

China

China’s foreign direct investments have been growing fast globally. Many Chinese investors have looked for more than a decade for opportunities to buy European assets. Their investments may have helped Eurozone countries ride out the 2008 financial crisis, but are likely to have broader consequences in the medium- to long-term – Chinese investments are state led and China uses investments in infrastructure and public utilities to create political leverage. At the same time, China maintains very significant barriers to foreign investors aiming to access its markets. How much investment is safe for good relations? How will European leaders deal with a massive influx of cheap Chinese money? Would the EU and the US win by cooperating against Chinese expansion?