The official satisfaction at the contracts signed between major French companies and the Chinese authorities cannot make us forget the setbacks suffered not so long ago by Alstom, in particular…
Like many “emerging” countries, China makes contracts with foreign companies conditional on technology transfers. Europeans and Americans accept these lopsided conditions on the basis of two criteria in particular:
– the need to win these contracts given the short-term stakes, in a context of crisis – and never mind the long term;
– the conviction – a relic of a no doubt somewhat proud outlook – that the expertise and talents of the old European nations and of America will allow them to stay “one step ahead”.
Less than a year ago, Alstom lost a contract in the thermal power sector to a former Chinese partner (Insigma) that had benefited from such transfers… So of course, there are disputes and lawsuits… But what court can convict the world’s biggest banker?
The Chinese President’s official visit therefore raises critical questions for many business leaders… On what conditions can short-term stakes be met without irreversibly increasing the level of risk in the medium term? A subject for constant reflection…
To find out more about this case: Les Echos, 22 June 2010, « Comment Alstom s’est fait piéger par son allié chinois » (How Alstom was trapped by its Chinese ally) (in French)
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