Navigation path

HOME
Policy areas
Sectors
Who is in charge?
Competition and you
Cases
In this section:
Overview
What's new?
Legislation
Foreign subsidies
Bilateral relations
Multilateral relations
Speeches and articles
Contact

Did you find what
you wanted? 
Yes No
What were you
looking for?
(Leave your email address
if you want a reply)
Any suggestions?

International

Foreign subsidies

The White Paper

Subsidies granted by non-EU governments to companies active in the EU appear to have an increasing impact on the Single Market. The EU has tools at its disposal to address some of the distortions caused by foreign subsidies granted by non-EU governments to companies operating in the EU. The existing tools, however, do not fully address all possible distortions caused by these foreign subsidies.

The White Paper on levelling the playing field as regards foreign subsidies, adopted by the European Commission on 17 June 2020, proposes solutions and calls for new tools to address this regulatory gap and its challenges.
pdf BG CS DA DE EL EN ES ET FI FR HR HU IT LT LV MT NL PL PT RO SK SL SV

The White Paper puts forward several approaches:

  • Module 1 proposes the introduction of a general market scrutiny instrument to capture all possible market situations in which foreign subsidies are provided to beneficiaries in the EU and may cause distortions in the Single Market.
  • Module 2 is intended to specifically address distortions caused by foreign subsidies facilitating the acquisition of EU companies.
  • Module 3 addresses the harmful effect of foreign subsidies on EU public procurement procedures.
  • Finally, the White Paper sets out the option to review foreign subsidies in the case of applications for EU financial support.

Have your say

The White Paper is now open for public consultation until 23 September 2020. The Commission has received 150 contributions: 17 from public authorities of Member States; 24 from third country stakeholders and governments; around 100 submissions from business and industry associations and individual companies; and the remainder from law firms, academic institutions, trade unions, NGOs and individual citizens.

You may find the summary and results of the consultation below:

New instrument on foreign subsidies

As a follow-up to the White paper, the Commission announced different options to address distortions caused by foreign subsidies. According to the Commission Work Programme 2021, a legislative proposal for levelling the playing field would come forward in the second quarter of 2021.

To prepare the ground for future action, on 6 October, the Commission published an Inception Impact Assessment, which was open for feedback until 29 October. The feedback on the Inception Impact Assessment is published here.

The consultation enables all European citizens, Member States and relevant stakeholders (including civil society, industry and academics) to provide their opinion and contribute to the future action in relation to levelling the playing field as regards foreign subsidies.

  
Related links
Speeches and Articles about International cooperation