2023年12月07日

Public tenders in the EU | Ensuring Compliance with new foreign subsidy rules for EU and non-EU Companies

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Introduction

Over the past few months, a new regime tackling foreign subsidies has begun to take effect in the European Union. The EU Foreign Subsidies Regulation ("FSR") started to apply in part in June 2023, and more fully in October 2023.1

The FSR empowers the European Commission ("Commission") to address the effects of distortive subsidies granted by non-EU countries to companies operating in the EU. It is a broad and new tool for the Commission adding to the already existing merger control, foreign direct investment and State Aid rules, covering (i) concentrations and (ii) public procurement procedures. This memo focuses on the latter.2

 

1 Foreign Subsidies Regulation (europa.eu)

2 For more information on how the FSR applies in a M&A context see: Key Takeaways: The European Union Foreign Subsidies Regulation | Perspectives & Events | Mayer Brown

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