An EU regulation (‘The Implementing Regulation’) setting out notification procedures regarding non-EU subsidies that might distort the internal market was adopted by the European Commission on 10 July. In particular, it establishes the form of notification, the degree of aggregation of information and some exclusions in applying the rules of the Foreign Subsidies Regulation (FSR) which was adopted by the European Parliament and Council in November 2022.
The FSR will apply from 12 July 2023. As of 12 October 2023, companies will have to notify either mergers and acquisitions (‘concentrations’) or participation in public procurement bids, where they involve foreign financial contributions, meet the relevant notification thresholds and do not fall within the new exceptions. Notifications under
the Commission’s ex-officio power of investigation in other cases are to be determined in each case.