The European Commission (EC) is expected to launch an “in-depth” investigation into JD.com’s proposed takeover of German electronics retailer Ceconomy, the Financial Times reported, citing undisclosed sources.
The report said that the move is expected to be announced later this week.
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If confirmed, it would be the first Chinese acquisition to face a detailed examination under foreign subsidies rules set by the European Union (EU).
The step comes ahead of a wider discussion among commissioners on the bloc’s approach to China.
JD.com announced its €2.2bn bid for Ceconomy in July last year. Ceconomy operates more than 1,000 stores across Europe under the MediaMarkt and Saturn brands.
The deal had initially been expected to close in the first half of 2026.
However, according to people briefed on the decision, Brussels has opted for a full review that would give the EC an extra 90 working days to assess whether the transaction involves unfair foreign subsidies.
The EU’s foreign subsidies rules give the EC authority to block companies backed by non-EU state support from public procurement processes, mergers and acquisitions.
Although the regime is not aimed specifically at China, it has been used in cases involving Chinese companies amid mounting concern in Europe over the impact of Chinese industrial overcapacity on local businesses.
EU competition chief Teresa Ribera has previously said the bloc is likely to pursue more subsidy investigations into foreign companies investing in Europe, as it seeks to address what it regards as unfair competition.
JD.com is one of China’s largest e-commerce groups and competes with Alibaba and Meituan. It already operates logistics hubs in the UK, France and Germany.
The company had also considered a bid for UK electronics retailer Currys before withdrawing its interest in March 2024.
The proposed Ceconomy deal has already drawn attention from Austria’s foreign investment watchdog. A decision from Germany is still pending.
