The EU Commission adopts a white paper with proposals for sweeping enforcement powers to address potential distortive effects of foreign subsidies in the EU

Background On 17 June 2020, the European Commission (Commission) adopted a White Paper which contains far-reaching proposals for new enforcement powers against companies benefitting from subsidies granted by non-EU countries. While there are already well-developed systems of anti-trust/merger control, state aid, foreign investment control, and public procurement in the EU, the White Paper suggests that these tools are insufficient to address potential distortions of competition that are specifically caused by foreign subsidies. The White Paper therefore proposes new powers both at the Commission and Member State levels to tackle this perceived regulatory gap. At the same time, the Commission has launched a public consultation inviting comments from stakeholders that is due to run

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Alec J. Burnside, Adam Kidane, Clemens York von Wartenburg, The EU Commission adopts a white paper with proposals for sweeping enforcement powers to address potential distortive effects of foreign subsidies in the EU, 17 June 2020, e-Competitions Foreign Investment, Art. N° 96377

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