Germany toughened rules Wednesday for non-EU share purchases or acquisitions of companies that are part of its critical infrastructure, amid growing disquiet about takeovers by Chinese firms.
The new rules allow the government greater review powers in the defence, high-tech and infrastructure sectors, including utilities and telecoms providers, for media companies.
Chancellor Angela Merkel's cabinet decided to lower the threshold where reviews apply to foreign purchase offers of 10 percent of such strategic companies, down from 25 percent now.
Germany and other EU states have voiced growing concern as Chinese companies have bought up, or purchased controlling stakes in, high-tech firms, airports and harbours.
The update strengthened government powers to review and possibly block foreign purchases and aim to "strengthen our national security," said Economy Minister Peter Altmaier.
He assured foreign investors that "companies like to invest in Germany, and we would like to keep it that way".
"But we have to be able to take a closer look when it comes to sensitive infrastructure, who buys it and what the consequences are," he said in a statement.
"Enterprises that supply us with electricity, gas, drinking water or telecommunications are of paramount importance to our coexistence. This is also true for the media sector."
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