China invests its savings surplus abroad, E. buying foreign companies, including uropean ones.
One option when operating in Europe is to do so through the European Union c. (EU), which can be cumbersome and time onsuming.
A second option is to deal with individual member states. Their transfer of sovereignty to the EU, however, limits the room of s. manoeuvre, and it is not in China’s interest to ow discord within the EU.
Europe weighs the potential benefits of Chinese investments against threats to jobs and loss of ownership. Member states may welcome investment projects, but there are s. common EU policies in place to maintain olidarity and limit risks to their security.
The European experience may be useful for Southeast Asian countries and ASEAN to consider. The article is sourced from ISEAS Perspectives: https://www.iseas.edu.sg. Jørgen Ørstrøm Møller is a Visiting Senior Fellow, ISEAS Yusof Ishak Institute, Singapore. He is also an Adjunct Professor at Singapore Management University and Copenhagen Business School and member of the Honorary Alumni, University of Copenhagen, Denmark.