LEAK: EU to ask member states to to screen foreign direct investments
www.euractiv.com
The European Commission will next week propose new rules requiring EU member states to screen foreign direct investments (FDIs) into the bloc's sensitive industries to determine if they pose a security risk, according to a draft regulation, seen by Euractiv.

According to the draft proposal, the European Commission will ask the member states to put in place screening mechanisms and will widen the scope of existing rules to include investments made by companies that are either directly or indirectly controlled by foreign entities and could impact public order and security.

The draft proposal would also introduce the novelty of screening greenfield investments, which is when the foreign investor or a foreign investor’s subsidiary in the EU sets up new facilities or a new undertaking inside the bloc, essentially building production facilities from scratch.

This is expected to have a major impact on investements in key industries such as solar and wind technologies and electric vehicles (EV), as well as semiconductor investments made by non-EU investors. Those are often linked especially to concerns about Chinese investment in those sectors.

  • @HenriVolneyEnglish
    6•8 months ago

    Seems a bit late but at least they started

    • @[email protected]English
      5•8 months ago

      I mean, Portugal only sold the entire electrical network and power stations to the Chinese government. I guessed this will stop the government selling the army too.