EU considers tech transfer requirements for Chinese investments in Europe
The European Union is weighing the introduction of technology transfer and know-how requirements for Chinese investments in Europe, according to EU Trade Commissioner Maros Sefcovic and Danish Foreign Minister Lars Rasmussen, who spoke after a ministerial meeting in Denmark on Tuesday.
The discussions, centered on economic security, come ahead of a European Commission paper expected by year’s end outlining the bloc’s strategy for managing foreign investments amid rising geopolitical tensions with China.
Rasmussen said Europe must learn from China and the United States, both of which impose strict conditions on foreign investors. “If we invite Chinese investments to Europe, it must come with the precondition that we also have some kind of technology transfer,” he said. “We find ourselves in new circumstances.”
European officials argue that China has long benefited from mandatory technology transfers imposed on European companies operating in the Chinese market, whether through joint-venture requirements or licensing regulations.
Sefcovic said that while the EU continues to welcome foreign investment, these should be “real investments” that contribute to the bloc’s job creation, technological development, and intellectual property growth. “European companies have been transferring know-how to China for decades,” he said. “It is time for reciprocity.”
On Wednesday, Chinese Foreign Ministry spokesperson Lin Jian criticized the proposal, saying China opposes “forced technology transfer” and any “protectionist and discriminatory practices” disguised as competitiveness measures.
EU ministers broadly backed the initiative, with the Commission now tasked with translating the discussion into formal policy proposals by the end of the year.


