BERLIN—Germany plans to pass legislation by the end of 2019 to create a state-owned fund that can protect key companies from takeovers by Chinese and other foreign firms, government sources said, in a marked shift from its “hands-off” approach to business.
Economy Minister Peter Altmaier proposed the fund in February as part of a more defensive industrial strategy, and three officials told Reuters the government was now working on draft laws so the fund could be up and running next year.
