Chinese firms have a foothold across several UK industries. This has come into sharp focus ever since Government had to intervene to wrest British Steel from its Chinese owners over the weekend. Chinese investments have been pumped into a number of sectors including energy, technology and ports.Here is a summary of the key areas that have Chinese stakes.
NUCLEAR
MPs have long urged the government to curb Chinese involvement in Britain’s nuclear power plants. China General Nuclear Corporation (CGNC) was an investor in Hinkley Point C. Its funding was halted in 2023 and its stake has been receding. The Government also paid £100 million to remove CGNC’s 20% stake in the proposed Sizewell C nuclear site in Suffolk. The firm is still a lead developer in plans for Bradwell B plant in Essex.
UTILITIES
The China Investment Company (CIC) has a 10.5% stake in the National Grid’s gas distribution network and also holds a 8.7% share of Thames Water. It also has stakes in Cadent Gas and China’s sovereign wealth fund owns 49% of Neptune, which supplies about 1.5 million homes from Cygnus, the UK’s largest gas field, which is about 100 miles off the Lincolnshire coast. CIC also holds around a 10% share in Heathrow. CK Hutchinson, a firm that the China Strategic Risks Institute says is close to the state, also owns stakes in UK Power Networks, Seabank Power Station, Northumbrian Water, Wales & West Utilities and Northern Gas Networks Limited.
UNIVERSITIES
More than 40 British universities have collaborated with institutions that have been linked to malign activities of the Chinese state. Many of the agreements pose no risk but in 22 cases they held partnerships with institutions deemed “very high risk” by the Australian Strategic Policy Institute, a defence think tank.
SOLAR
Some 80% of the global solar manufacturing market is owned by China. Britain has almost no domestic manufacturing capacity and meaning imports from China cost hundreds of millions of pounds each year.
WINDFARMS
Chinese businesses have funded or provided parts for at least 14 of the 50 British offshore wind farm projects in operation or late in development, an analysis by The Times suggested.
PORT
Hutchison Ports Holdings (HPH), a Hong Kong-based firm, owns and operates the Port of Felixstowe.
TECHNOLOGY
The UK has attracted Chinese technology companies and venture capital funds, with established firms like Huawei, Alibaba, and Rekoo.
REAL ESTATE
Chinese investors are actively involved in the UK real estate market.
EVERYDAY OBJECTS
The UK has been left vulnerable over its dependency on China for critical minerals needed to make key everyday items such as smartphones.