German government blocks Chinese state carrier's purchase of Hamburg logistics firm

Following a cabinet session, the German government decided to block the sale of a controlling interest in Hamburg-based logistics provider Zippel to the Chinese state-owned carrier Cosco, invoking security considerations. A ministry spokesperson said a formal prohibition notice will be issued, arguing that the transaction would increase strategic dependencies and undermine the robustness of supply chains in Germany and the EU.

Although the Federal Ministry for Economic Affairs generally encourages foreign capital, it retains the right to reject deals that could endanger public order or safety under the Foreign Trade Act. The competition regulator had previously indicated that the purchase would not harm market competition, but the Federal Office for the Protection of the Constitution expressed reservations. Zippel, which moves goods by rail, ship and truck to ports such as Hamburg and Bremerhaven, employs roughly 350 staff. Cosco already holds a minority stake in the nearby Tollerort container terminal.