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Identification of Foreign Subsidies Under the New EU Foreign Subsidies Regulation

Philipp Reinhold, Thomas Weck

DOI https://doi.org/10.21552/estal/2024/1/5

Keywords: FSR, Foreign Subsidies Regulation, Merger, Public Procurement, Notification

The new industrial competition in the digital and ecological age has led to a global subsidy race. Against this backdrop, the EU's new instrument for foreign subsidies seems to have come at just the right time. However, the initial euphoria, particularly among companies in the EU that are under strong competitive pressure from China, has faded. There are more and more complaints about the extreme lack of clarity, particularly with regard to the comprehensive notification obligations, which is leading to considerable legal uncertainty. Until more detailed guidelines and/or exemptions are published, a step-by-step approach regarding the individual requirements and a corresponding risk assessment are essential. This also includes a better understanding of the concept of a foreign subsidy envisaged by the EU.
Keywords: FSR; Foreign Subsidies Regulation; Merger; Public Procurement; Notification

Dr. Philipp Reinhold works as a Lecturer and Senior Research Assistant at the Chair of Public Law, Public International Law, European Law and International Economic Law of Prof. Dr. Marc Bungenberg, LL.M. and the Europa-Institut at Saarland University. For correspondence: reinhold@europainstitut. Prof. Dr. Thomas Weck is Associate Professor of Public Law, Regulatory Law and Comparative Law at the Frankfurt School of Finance and Management. For correspondence: T.Weck@fs.de. Until 2020 and 2022 respectively, the authors were affiliated to the German Monopolies Commission which made proposals in the run-up to the FSR.


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