China upset as Obama bars Fujian buying Aixtron's U.S. business

EghtesadOnline: China's Foreign Ministry expressed displeasure on Monday after President Barack Obama blocked a Chinese investment fund from acquiring the U.S. business of German semiconductor equipment maker Aixtron.

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05 December 2016

Obama's executive order barring China's Fujian Grand Chip Investment Fund (FGC) from completing the acquisition of a German company with American assets was one of only a few such instances in which a U.S. president has blocked a transaction due to national security concerns.

Chinese Foreign Ministry spokesman Lu Kang said the government had always supported Chinese firms investing overseas on the basis of market principles, international rules and respecting local laws, according to Reuters.

The Aixtron deal is purely a commercial matter, he added.

"China resolutely opposes the politicization of any normal commercial takeover or the wrong move of political obstruction," Lu told a daily news briefing.

China hopes the U.S. stops making "groundless accusations" against Chinese firms and provides a fair environment for them, he added.

Reuters could not immediately contact Fujian Grand Chip to seek comment.