That's the headline on this story in Der Spiegel:
http://www.spiegel.de/international/0,1518,812273,00.html
"Peter Hintze, a member of the center-right Christian Democratic Union
(CDU) and the chancellor's space travel advisor, . . . would like to
convince the Chinese to become involved with the Galileo navigation
system . . . "
"The carrier rocket industry is also threatened. The Europeans
developed the "Ariane" rocket with substantial government support.
China, for its part, could position itself as a low-cost supplier in
the future, making the Ariane superfluous."
http://www.spiegel.de/international/0,1518,bild-310773-812273,00.html
Budget pie chart, shows 18% of ESA 2012 budget allocated to
navigation.