China holds over 11,000 German-developed patents, IW study finds
German industry is losing control of its own inventions: a new IW institute study finds China now owns more than 11,000 German-developed patents, with nearly one in three German inventions held by foreign owners. Mechanical engineering is the most exposed sector.
German companies are steadily ceding ownership of the technology they create. A new study by the IW institute in Cologne, commissioned by the Bertelsmann Foundation, finds that Chinese entities now hold more than 11,000 patents that were originally developed in Germany, accumulated over roughly two decades of acquisitions. The broader picture is striking: nearly one in three inventions developed in Germany is now owned by foreign holders. US-based entities account for the largest share, close to a third, while Swiss owners control around 11 percent. China's footprint is concentrated in mechanical engineering, one of the core sectors behind Germany's industrial strength. The study points to a structural shift in who controls strategic innovation. Beijing has directed acquisitions toward specific technology fields while keeping its own market comparatively closed to foreign investors. For an economy that built its reputation on engineering know-how, the gradual transfer of patent ownership raises questions about long-term industrial autonomy and the resilience of Europe's largest manufacturing base. Reported by the IW institute via Arab News and Global Banking and Finance Review.