In germany. Oh im just going to invest in germany in the us and its a win win situation as we. Win win what about job security. Is what i thought the initial reaction is shock. Some experts fear for the domestic economy would see this including raising pay that planners discipline Farm Products with chinese words. Such as you have zoom once to know count dangerous is chinas shopping spree for germany. And i think that i think people would. Think that utang is a chinese millionaire hes here in karlsruhe own business. A leading global manufacturer of packing and process technology is looking for a new investor several parties from both germany and abroad have already come to look at the production facilities to. De its you tongue whos offered the company one hundred fifty Million Euros and sweetened the deal by ensuring that in the future would be able to sell its machines in asia without difficulties. For the german management this all sounds promising but the companys employees are skeptical because toms company talking manufactures similar machines in china the news of potential Chinese Investment has employees concerned. Shockey of and the first reaction is. China is far away and mentality there is difference they have to for ninety days about working out as so it sort of takes you back moment thats a large part of the workforce sees it pragmatically the baby shaft. Is a high third time weve been sellers if its insulted off a call for this time however the biggest fear is that with this sale the entire production will be relocated to china. Or when some other developments from that room there wouldnt be so bad for us of course if the production were moved elsewhere are brought back and over the last maybe we can also learn something from the charles. Investor tongue ensures them hes not out to destroy. He wants to team up with the manufacturer in karlsruhe to overtake competitors such as bosh to the. Teams china is a huge market and germany is highly developed scientifically and technologically us working together chinese and German Companies could conquer the global markets. So we have a three year plan we want to increase from a close market share in china into this. Low markers a chance reporting so right now the annual turnover is only five to six million euro. Does a tall tales of the bottom three yes it should be much more limited in our goal is over fifty Million Euros you for that. But then roma cole would be part of a Chinese Corporation and that would mean in the future major decisions would be made by chinese investors a good reason for the german management to weigh up the situation carefully. He. Jobs a lot at stake in the negotiations between trucking and well come back to find out what kind of agreement was reached. Just one of Many Companies chinese investors have shown interest in. Germany. Changed hands. In business with china. And sometimes even. Twenty seventeen was a record year for chinese amodeo activities abroad and also in europe and germany. Were seeing a solid upward trend most of the acquisitions we handle pursue strategic interests. In other words a chinese entrepreneur will say i have an objective i want to expand abroad or i need to upgrade my technology. And operate for my intention ok back home why are chinas investors so keen on germany in particular yeah. For. Products and German Technology a highly regarded that. As of yet been is in Automobile IndustryMechanical Engineering and machinery from the shore have an excellent reputation in china the good news and. One reason germany has become a focus of interest is because of a government scheme known as made in china twenty twenty five the country wants to put its days as a producer of cheap goods behind it to become a technological leader and industrial superpower. At the hanover messa the Worlds Largest industrial trade fair its clear where chinas interests lie robotics Semiconductor Technology and automation. Up until now Chinese Companies often simply copied products no one does it better no other country churns out more reproductions or counterfeit goods. The cost to germany alone is over seven point three billion euro. Companies based in the bavarian city of klinenberg has felt the sting the cusp eshel ises in pressure temperature and Level Measurement Technology their instruments are used primarily. Heating and Industrial Facilities and must operate with absolute precision. Make up products have been widely copied by Chinese Companies for eleven years its been a moods job to track down the fakes. So whats original and whats take your organ all of the difference between an original and a fake is not always easy to spot for the retail customer often on fakes the printed parts are a bit blurred the cascade is even worse like hair at the front its been cut by hand perhaps with a pair of nail scissors and theres no way this seal is tight enough but the main thing is that it wont measure the pressure properly subjected to vibration the instrument would likely fail for the benefit stamped made in germany but wasnt and it does not adhere to the quality standards of made in germany thats not fair. Its a tough battle for de mood and his boss so why is china in particular causing so many problems. You know its. Over the past years china has grown from a developing country into an industrialized one and a lot of Small Companies want to gain a foothold in the market. Now and they often take a very pragmatic approach to put a diplomatic if its. The economic damage is significant but for this Medium Sized Company theres even more at stake. Than just imagine our instruments are often used for critical applications. Involving hard pressure for example. And if a device isnt up to specs it could result in serious damage or even personal injury through a form of the law. And if there were to involve a device during the name. Doesnt matter how many ways we can prove that its not one of our products the damage to our to me. Has been. Invented in germany and reproduced cheaply in china under the original name that shouldnt be possible in germany intellectual property is protected by the German Patent Office in munich but patents in germany arent worth much in china they have to be registered there and the requirements are different in germany inventions must truly be new in china its often enough for the goods to simply be new to the market that leaves room to patent blatant. Is that also part of the chinese strategy attorney usually involved counterfeiters on behalf of German Companies which takes a lot of time and energy. And china you have to submit a lot of paperwork before a judge will. Need to develop a very broad strategy. Any other kind of. Property rights in china be responsible for your kind. Of the Property Rights will ultimately help you win that case. Does go to court. And his client Chinese Companies generally win. The impression the state is interested in supporting its own patents. China launched a Major Initiative a few years ago they wanted to see millions of peytons filed within a few unfortunately the innovations. On the standards here differ from those in europe but Chinese Companies sometimes with Tax Advantages register peytons and then push them through. Long with. Us want to know if its china first in case law. Its more like you realize theres a tendency to mistrust foreigners they always have to present their. The thing to the chinese johns with a triple stamp and a certified translation its a lot easier for the chinese a lot of these hurdles are here a formality as much of course have been set up by the state. Are german businesses systematically disadvantaged and working to find out and make our way to china the country is germanys most important Business Partner outside europe with a trade value of about one hundred seventy billion euro more than two thousand six hundred German Companies are based in the greater Shanghai Area alone but if you hope to succeed you have to abide by chinese rules and they are strict foreigners are not allowed to invest in every branch for some you need to enter into a joint venture with chinese partners and there are limits to how much capital can flow in and out of the country. A third of german entrepreneurs complain about a lack of transparency bureaucratic hurdles and bias and legal interpretations. Of the German Chamber of commerce abroad is critical of the systematic bias to. Deutschland germany as a country that is largely open to Foreign Investment but we are still seeing limited Market Access in china before in the case of Public Tenders for example the Companies Keep telling us that there is a lack of transparency and that its not always easy to understand why theyve been shut out of the process sunspot ends few dozen my time is not quite seen cohen but it tends to be a little complicated terry in china does as i list here in kenya if guns i am from. Many companies would agree but few dare to talk openly about the problems for fear of reprisals by the chinese authorities but we did find one entrepreneur who was willing to talk to us on camera. Hike eventual company develop scanners thomas. Raps and measuring instruments for industrial use eleven years ago she came to china and taught chinese engineers german know how then one of her employees started offering the same services outside Company Hours with the help of colleagues and equipment from their german employer. And there was the respect for they dont like the same respect for property as we do is good if they dont have the same sense of justice so i more or less have to expect that one in one hundred employees will say well ill take that and do my own thing with it when i listed on that commission of the what security measures have you put in place to ensure that the no house stays within a company even in a film it would fall into it was very important not to reveal every facet of our technical now go to ensure that didnt happen right for a start we continue to manufacture the highly sensitive parts in germany and then have them sent here to be installed in the machine and we havent heard of the russian. Vessel dismissed the employee. But thats not the only bad experience shes had she also set up a joint venture with a chinese partner who made a profit while she lost half a Million Euros with as much in. The script so i mocked as a mild case in which she or peons operate and it works quite well. As a market that is reserved for domestic manufacturers its is not just the your opponent market so we thought it would be a good idea to enter into a joint venture with a partner from china try venture partner with kino is that old allow us to conquer this other market as well. One but that didnt work out so well it was very very difficult wills colliding you might say its the missile because apart from its difficult for germans to succeed in china ventile experience is that every day applications and paperwork are required for everything nothing moves forward without a stamp and to. Get that pencil had to present her case to three different authorities. For this service then its worth more than my signature on time and again she feels the long arm of the state she wants to show us how it is we accompany her to one of the authorities a combination of a customs and labor inspectorate she needs its approval to bring components from her own factory into the country. The head of the authority also wants to show German Television what they have achieved here hes proud that in just ten years more than twelve hundred companies have settled in the region of his responsibility they are all in sectors that the Chinese Government sees as crucial to the countrys future engineering Semiconductor Technology and automation. We ask the head of the agency what the Broader Vision is the. Government has created many opportunities to transform and improve chinas economy to develop it we are trying to move away from the traditional way of doing business with towards a new economy driven by innovation and high tech. Very strange offers many opportunities for foreign entrepreneurs to especially from germany this is a. Thank you very much for making makes it clear and nothing in china happens by chance. Master plan for Economic Development is always present. Made in china twenty twenty five envisions a quantum shift away from cheap producer to an industrial super power that will rival north america and europe. For investment. Companies cant make the. Own they have to buy in. The company. Of the bank. And then. Suddenly. An investor from china appeared on the scene and took over the company the money the company afloat. Hands. The business to his german. In the. In the chinese. He made a name for himself as an automotive supplier he had nothing to do with cranes. Regional strategy was behind his investment. Serves a prime market. For the european market. To receive support from the chinese. Government. To develop production in china and make the brand. The. Governments development strategy. So this investment was made with support from the state. He doesnt reveal the exact amount but without that money would have gone bust but in another respect it cost the company dearly because the way germany builds cranes is now also known in china. Technology transfers and state subsidized shopping sprees what does this mean for germany as a Business Location experts. Institute for china studies spent a long time looking at chinas master plan and working out the strategy behind it. Has analyzed Chinese Company takeovers including starter motor and generator subsidiary the chinese investors are actually made up of a complex network with locations in germany luxembourg and the Cayman Islands and in the end everything comes together in a special Holding Company. Does a. Look at the Chinese Business register this Holding Company is owned. Entirely by henan province which is a very very clear indication of the provincial plan for the Automotive Industry the. State owned enterprises have. Another example n. X. P. Semiconductors in hamburg the buyer appeared to be a private investor but a look into numerous Shell Companies reveals a state fun directly subordinate to the council of state so not a private investor after all. Trying to give the impression that this is a private plan when the governments actually behind it if you have nothing to hide theres no reason not to say that the government is involved. Its a controversial strategy. Thinks it has to do with germany as a Business Location. Is germany being sold off little by little as the. Risks that we have to observe in this travel an increasing proportion of investment is driven by state participants stopped without. Basic aim is to supplant foreign products with chinese ones. To prevent this takeovers would have to be blocked until recently the German Government could only do that when it came to armaments and military technology but since july twenty seven teen the government has been able to veto deals if Critical Infrastructure is affected the e. U. Is now considering expanding the rules to the whole of europe the numerous Company Takeovers the bad experiences with patents the hidden hand of the state and the made in china twenty twenty five initiative all of this has fueled mistrust we want to confront chinas highest ranking representative in germany with our research. Given the pace of chinas master plan can ambassador she understand why disney says and politicians are wary. Does. In the past the motto was Growth Growth and more growth now the motto was more quality and efficiency instead of quantity. Were only at the start of our investment in germany its a win win situation. Then by taking over companies weve created more jobs and these companies now have more access to the Chinese Market. People are afraid of Chinese Companies but in essence it means theyre afraid of themselves afraid of competition. Because china is developing people are intimidated by the pace. On for them to import taught since did and that the state is still behind it and subsidizing it with cheap loans how can Something Like this happen. I dont understand this concern with state involvement the German Government also supports German Companies over all of that. And what does the ambassador make of the discussions in germany and at the european level that new regulations will make the markets less open to china. If not. China is opening up far and wide and germany should also remain open. When problems arise we are prepared to deal with them by discussing that its not through restrictive measures and. Secondly all such efforts are outdated. We have Common Ground our liberal trade open markets. Germany restricts matters its sending out the wrong signal. In the event that china as an advocate of free world trade and germany as an obstacle the German Ministry of Economic Affairs rejects this notion. He does. Of all i do have to say china is an important trading partner china has to achieve a new level of Value Creation that is true it is absolutely crucial for growth and employment in china and nothing can be said against it the question is what means and what conditions are they using to do that that is precisely where the principles of a market economy should apply not so to speak the principles of a state economy that distributes state subsidies. At the moment china is fighting with unfair means. If i were to subsidize things in this way competition will no longer be fair and that will distort competition in the media. We cannot have any interest in that. The issue is essentially to prevent germany from being sold off to not just see the piles of chinese money but also to protect german no found. Back in karlsruhe now in chinese hands the firm was sold for one hundred fifty Million Euros with the majority of. Tung the highest bidder location and jobs are supposedly secure even though the company didnt get that in writing but the german management is still satisfied. Like this light. On a great deal of thought derogate do it. Strategically. Both sides have a role to. Continue in a positive way with. The new boss promises a golden future. In his first address to the workforce he speaks of free Market Access to china generous investment new locations in europe and commitment to preserve. Although we dont all know each other well its a big day for me today because we all share a name now. The company and bob is now a chinese worker and as weve seen the fight against counterfeiting is hard to win accessing the Chinese Market is still difficult for German Companies theres no sign of a level Playing Field and at the same time chinese investors are closing in on germany individual. Dont seem to be a problem but they are increasing number and the accelerating pace. And masterplan. China is upon its way to becoming an industrial superpower. The fast pace of life into digital. Shift as the lowdown on the web showing new developments and providing useful information the wittiest finds and interviews with the makers and users of shifts next on dealing. With freedom of expression. Of value the old ways has to be defended a new. All over the world. Of Freedom Freedom of art. A multimedia project about artists and their right to express their views freely. D. W. Dot com a freedom of. Shift living in the digital age today twenty seven teens most popular gifts smart speakers. And a photo part phone with incentives bought fast life in front of an audience in china Live Streaming is more popular than ever before two hundred Million People in china observe other peoples lives using apps but they do more than one