China Blocks Softbank's $5.4Bn Takeover Of ABB's Robotics Division

(MENAFN- Swissinfo) China has told SoftBank it will not allow the $5.4 billion (CHF4.4 billion) acquisition of ABB's robotics division to go ahead in a shock move that threatens to throw Masayoshi Son's ambitions in physical AI into disarray. Select your language

Generated with artificial intelligence. Listening: China blocks SoftBank's $5.4bn takeover of ABB's robotics division This content was published on November 5, 2026 - 10:21 4 minutes David Keohane in Tokyo, Financial Times

SoftBank was recently informed that the deal would be blocked by China's National Development and Reform Commission, the powerful state planner tasked with safeguarding supply chain security and stability, according to multiple people familiar with the matter.

China is the biggest market for ABB's robotics unit, with more than 90 per cent of its robots for Chinese customers manufactured locally. The Swiss-Swedish company employs about 12,700 people in China.

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Until last week, people close to SoftBank and those briefed on the NDRC's process in China had expected the deal to be approved despite it being subject to a foreign investment security review.

ABB confirmed in a statement on Thursday it has been informed by SoftBank that Chinese regulators had“prohibited the acquisition of the ABB Robotics business in China”.

SoftBank is now trying to determine what went wrong and whether it could try to seek approval again. The ABB division's operations in China were a significant attraction for the deal, say people close to the Japanese group.

The NDRC review had included detailed scrutiny of ABB's Chinese supply chains and a demand to retain some of the robotics unit's manufacturing capabilities in China, according to people familiar with the matter.

SoftBank agreed last October to buy ABB's robotics division as part of the Japanese group's push into a sector it believes will be tied to the rise of AI.

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