EU Toughens Foreign Investment Rules in Face of Beijing’s Attempts to Buy Sensitive Companies

The European Parliament has given the green light to tough new rules designed to stop the Chinese state buying up strategically sensitive companies.

European Commissioner for Trade Cecilia Malmstrom addresses a press conference in Brussels on Jan. 18, 2019 in Brussels. Emmanuel Dunand/AFP/Getty Images

BRUSSELS—The European Parliament has given the green light to tough new rules to block malicious foreign investments in an effort to prevent the Chinese government from buying strategically sensitive companies.

Representatives voted 500–49 on Feb. 14 to approve the package of legislation, which for the first time will set EU-wide standards that overseas investors will have to meet.