SoftBank confirmed this Friday (6) that Chinese authorities have blocked the acquisition of ABB's robotics operations in China. The decision, communicated to the Japanese group on November 4, affects part of an international agreement worth US$ 5.375 billion signed with the Swiss company in October 2025.
The veto was issued by the body responsible for reviewing the security of foreign investments in China. The purchase had been announced on October 8, 2025 and remains subject to regulatory approvals and other conditions for its completion.
The deal is part of SoftBank's strategy to expand its presence in robotics and artificial intelligence applied to machines and physical systems, an area known as Physical AI. China accounts for approximately 30% of ABB's robotics business, according to information published by Reuters, which makes the block especially relevant for the transaction.
Veto in China does not mean the global deal is canceled
The statement released by SoftBank limits the ban to the acquisition of ABB Robotics' Chinese activities. The company did not announce the termination of the international contract nor present an alternative to complete the transaction.
“SBG maintains close dialogue with ABB, and both are working constructively on the transaction,” the Japanese group said in its institutional statement.
According to Reuters, sources familiar with the process pointed to concerns by Chinese authorities about the possible transfer of sensitive robotics data abroad and about SoftBank's relations with Western companies. These motivations, however, were not officially detailed in the acquirer's statement.
SoftBank said it will disclose new decisions when there are determinations that require communication to the market. So far, there is no confirmation of a new timeline, of changes in the structure of the purchase or of a solution to the Chinese regulatory impediment.
