Foto:tobias winkler
In a landmark decision aimed at protecting national security, the UK government has blocked the sale of Volkswagen Group’s subsidiary MAN Energy Solutions’ turbine business to the Chinese state-owned giant CSIC Longjiang GH Gas Turbine. This news, which has sparked widespread interest, was reported by CNN .
MAN Energy Solutions announced plans last June to sell its gas turbine manufacturing business to the Chinese company. However, after a thorough analysis of the deal, the UK government concluded that these turbines could be used to equip Chinese military ships, posing a significant threat to national security.
UK Secretary of State for Business and Trade, Kemi Badenoch, emphasized the importance of this decision, stating that while the UK welcomes foreign investments, it must protect technologies related to public safety. “We need to ensure that critical technologies do not end up in the hands of countries with whom we may have adversarial relations,” Badenoch said.
The management of MAN Energy Solutions has not contested the government’s decision. In a comment to CNN, the company stated, “We are initiating a structured process to close our gas turbine division, which will be completed in the coming months.”
This is not the first time the UK has intervened to prevent Chinese investments in strategically important sectors. In November 2022, the sale of a semiconductor manufacturing plant to a Chinese technology company was also blocked on security grounds.
This decision is part of a broader UK strategy to reduce dependency on Chinese goods and technologies. The country has already experienced significant economic disruptions due to its close ties with Russia following its invasion of Ukraine, particularly due to dependence on Russian natural gas. The UK aims to learn from this experience and minimize risks in the future.
This move underscores the UK’s seriousness in protecting its economic interests and security. The country continues to strengthen measures to prevent critical technologies from falling into the hands of potentially adversarial states, demonstrating its commitment to maintaining strategic autonomy and safeguarding national interests.
