UNIFE: INTA Committee agrees FDI screening position
Dear UNIFE Members of the Committee,
Yesterday, the European Parliament’s trade committee adopted the report from MEP Franck Proust on investment screening.
The text was adopted by 30 votes to 7 and will form its basis for negotiations with EU countries and the Commission.
In substance, the report aims at strengthening the Commission’s initial proposal for a regulation. In particular, the amendments:
- Strengthen the Commission’s oversight role. While the ultimate decision to block an investment will remain with national governments, the Commission will have a stronger consulting role and EU countries will be allowed to ask other countries to block a certain investment
- Give the Commission the power to block and give an opinion on investments that affect EU-wide programs such as Horizon 2020 or the Trans-European Networks for Transport, Energy and Telecommunications; and technology initiatives such as S2R. Countries and the Commission should also watch for ‘security and continuity’ of critical inputs, such as the supply of transport networks
- Include ‘rail networks’ as a ‘critical and strategic infrastructure’
- Include ‘no reciprocity’ in the list of suspicious signs countries may watch out for when deciding whether to screen an investment or takeover
Negotiations on the final law will start once EU countries have agreed on a joint Council position.