Italy to make a decision by September on sanctions against Pirelli's Chinese investor.
Government Investigation: Italy is set to decide by the end of September whether to sanction Pirelli's Chinese shareholder, Sinochem, for violating rules aimed at limiting Beijing's influence over the tire manufacturer.
Stakeholder Tensions: The investigation could intensify conflicts between Pirelli, its main Italian shareholder Camfin, and Sinochem, as they express concerns about China's significant stake affecting their expansion plans in the U.S.
Deadline Extension: Originally due by July 31, the government's decision deadline has been extended by 60 days to allow for thorough scrutiny of Sinochem's involvement in Pirelli's operations.
Influence Concerns: Marco Tronchetti Provera, Pirelli's long-time CEO, is advocating for more stringent measures to reduce Chinese influence within the company, highlighting the complexities of foreign investment in strategic sectors.
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