Continuing to seek Chinese investment in the UK comes at a heavy political price
-
cross-posted from: https://lemmy.sdf.org/post/35357185
One major consequence of the UK government’s resistance to rejoining the European single market is that it is forced to go around the world seeking trade deals and investment.
Recently, the government has boasted of successful arrangements with India, the US, and some new agreements with the EU. But it has also found itself courting one highly dubious suitor.
Since the chancellor of the exchequer, Rachel Reeves, went to Beijing in January 2025, the government has been focusing much of its attention on China. And while investment from the world’s second-largest economy is fairly unproblematic in a few sectors (some services and domestic real estate, for example), other areas are a cause for concern.
Relying on Chinese money to support key sectors such as steel, telecommunications, advanced electronics, power and transport – all vital for Britain’s economic and geopolitical security – is potentially dangerous.
[...]
We are now in a world where the political interests of major states trump the economic interests of their business corporations. Geopolitics takes precedence over geoeconomics.
Consequently, Chinese firms – regardless of ownership status – should be barred from industries vital to the UK’s economic and political security. Anything less risks subordinating British interests to those of the Chinese Communist Party.