Overview   Foreign Subsidies Regulation

The European Commission has published Guidelines under the Foreign Subsidies Regulation (FSR) to bring further predictability and ensure transparency for companies. They clarify several concepts, such as how the Commission concludes whether there is a distortion of competition caused by a foreign subsidy, how distortive effects are balanced against any positive effects of a foreign subsidy, and the Commission's power to request prior notification of below-threshold cases.
See also COMP Flash.

The Commission conditionally approved the acquisition by e& of PPF telecom’s activities in Bulgaria, Hungary, and Slovakia, in what is the first decision with commitments under the FSR.
The acquirer offered commitments to comply with ordinary UAE bankruptcy rules and thus exclude any unlimited State guarantee, and to ensure that no subsidised financing will be channelled to the internal market through commercial or financial links between the acquirer and the Target.
The decision shows that effective solutions can be successfully proposed by the parties in a timely fashion to remedy distortive foreign subsidies.

The European Commission has opened an in-depth investigation to assess, under the Foreign Subsidies Regulation (‘FSR'), the activities of Nuctech in the production and sale of threat detection systems (‘TDS') and the provision of related services within the EU. The Commission has preliminary concerns that Nuctech may have been granted foreign subsidies that could distort the EU internal market.

The European Commission has approved, under the Foreign Subsidies Regulation (FSR), the acquisition by Abu Dhabi National Oil Company PJSC (ADNOC) of Covestro AG (Covestro). The approval is conditional upon full compliance with the commitments offered by the parties.

The European Commission released an update to the Q&A on some of the most frequently asked questions about the Foreign Subsidies Regulation (FSR). The revamped page is an essential tool in case you wanted to know more about the FSR or you were seeking clarification to any of your doubts.
This update covers notifications of concentrations by investment funds -you'll find it in question 26.

The European Commission has launched today its first review of the Foreign Subsidies Regulation (‘FSR'). As a first step of this review, the Commission is seeking feedback from interested parties, with a deadline of 18 November 2025.

In its first review of the Foreign Subsidies Regulation (‘FSR'), the European Commission aims to collect feedback through:

• a public consultation to gather views on specific elements of the implementation and enforcement of the FSR from all interested parties, like companies, law firms, Member States, business associations, individuals or research community and
• a call for evidence seeking more general feedback from all interested parties on the main aims of the FSR review report, its scope and context.

The European Commission has today launched a public consultation on a draft of the Guidelines on the implementation of the Foreign Subsidies Regulation (‘FSR Guidelines'). Interested parties have eight weeks to comment on the Guidelines, until 12 September 2025.

Regulation (EU) 2022/2560 of the European Parliament and of the Council of 14 December 2022 on foreign subsidies distorting the internal market lays down rules and procedures for investigating foreign subsidies that distort the internal market and for redressing such distortions. Article 46 of Regulation 2022/2560 mandates the Commission to publish guidelines regarding four technical concepts that need to be clarified.
On 5 March 2025 the Commission launched the process leading to the adoption of guidelines with a Call for Evidence and a targeted consultations with Member States and selected stakeholders and is now seeking feedback on proposed Foreign Subsidies Regulation Guidelines. The replies to the Call for Evidence and the replies to the questionnaire of the targeted consultations have been taken into account in the preparation of the draft Guidelines.
All citizens, organisations and public authorities are welcome to contribute to this consultation until 11 September 2025. See also the European Commission's press release.

The European Commission published today a Call for Evidence seeking feedback on the main objectives, scope and context of the upcoming Guidelines regarding the implementation of the Foreign Subsidies Regulation (‘FSR'). This is a first step towards the publication of the The Guidelines by 13 January 2026, as mandated by the FSR. The Guidelines will contribute to legal certainty, transparency and predictability in the Commission's enforcement of the FSR.
In parallel, the Commission has launched targeted consultations with Member States and selected stakeholders.

The European Commission is seeking feedback on the main objectives, scope and context of the upcoming Guidelines regarding the implementation of the Foreign Subsidies Regulation (‘FSR'). These Guidelines, to be published by 13 January 2026, are meant to provide certainty for companies and transparency of the Commission’s implementation of the 2022 rules on foreign subsidies.
All parties, who have an interest in the matter, can submit their views until 2 April 2025.

The European Commission has approved, under the Foreign Subsidies Regulation, the acquisition by Emirates Telecommunications Group Company PJSC of sole control of PPF Telecom Group B.V., excluding its Czech business, subject to conditions. The approval is conditional on full compliance with the commitments offered by the parties.

How should the concept of market distortion for a foreign subsidy be interpreted? You can read about this and other Q&A on the Foreign Subsidies Regulation in the Commission Staff Working Document just published.
The new Staff Working Document offers initial clarifications on the following:

• Distortion in the internal market caused by a foreign subsidy;
• Application of the balancing test;
• Assessment of distortion in public procurement procedures.

The European Commission has opened an in-depth investigation to assess, under the Foreign Subsidies Regulation (‘FSR'), the acquisition by the Emirates Telecommunications Group Company PJSC (‘e&') of sole control of PPF Telecom Group B.V. (‘PPF'), excluding its Czech business. The Commission has preliminary concerns that e& may have been granted foreign subsidies that could distort the EU internal market

The European Commission is carrying out unannounced inspections at the premises of a company active in the production and sale of security equipment in the European Union.
The Commission has indications that the inspected company may have received foreign subsidies that could distort the internal market pursuant to the Foreign Subsidies Regulation.

The European Commission released an update to the Q&A on some of the most frequently asked questions about the Foreign Subsidies Regulation (FSR). The revamped page is an essential tool in case you wanted to know more about the FSR or you were seeking clarification to any of your doubts.

The Commission launched two in-depth investigations under the Foreign Subsidies Regulation. The investigations relate to the potentially market distortive role of foreign subsidies given to bidders in a public procurement procedure. The Commission will assess whether the economic operators concerned did benefit from an unfair advantage to win public contracts in the EU.

The Foreign Subsidies Regulation started to apply on 12 July 2023 and the obligation to notify certain large concentrations kicked in on 12 October 2023.
The policy brief provides statistics on notifications in the first 100 days since the start of the notification obligation, as well as clarifications on some recurring issues that have arisen in the context of notifications received, including how to properly categorise foreign financial contributions, the level of detail required to report those identified as most likely to distort the internal market, as well as how to interpret some of the exceptions included in the notification form for concentrations.

The Commission launched its first in-depth investigation into the potentially market distortive role of foreign subsidies, exercising its powers under the Foreign Subsidies Regulation. This investigation relates to a public procurement procedure. It shows the Commission's determination to preserve the internal market's integrity by ensuring that recipients of foreign subsidies cannot benefit from an unfair advantage to win public contracts in the EU, to the detriment of fair competition.

The European Commission has updated its Q&A with additional answers to some of the most frequently asked questions on the Foreign Subsidies Regulation (‘FSR’).
The FSR started to apply on 12 July 2023 with the objective of addressing distortions caused by foreign subsidies and ensuring a level playing field for all companies operating in the Single Market. Since 12 October 2023, companies have to notify large concentrations under the FSR to the Commission.
If you are interested to find out more about the FSR, or are seeking further clarification on the topic, do not hesitate to check the updated Q&A page.