On the proposal for a regulation of the European Parliament and of the Council on the screening of foreign investments in the Union and repealing Regulation (EU) 2019/452 of the European Parliament and of the Council
IMCO-AD-765339
Committee on the Internal Market and Consumer Protection · Rapporteur: Svenja Hahn
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The committee opinion proposes amendments to the proposed regulation on screening foreign investments, aiming to improve clarity, consistency, and transparency while balancing security with openness to investment.¶¶¶ It introduces standardized procedures and timelines, enhanced transparency, mandatory notification for opaque ownership, clear criteria for state influence, streamlined appeals, and comprehensive information requirements.¶¶¶
Committee position. The committee proposes amendments to improve clarity, consistency, and transparency in screening foreign investments, balancing security with openness.¶¶¶
Key points
- Extends screening grounds to include public order and protection of essential interests of Member States and the Union.¶¶
- Requires all Member States to screen foreign investments on security or public order grounds, harmonizing core elements.
- Mandates that screening mechanisms limit administrative burdens and delays, with simplified procedures for low-risk investments.¶¶¶
- Requires notification and Commission opinion for investments with opaque or unclear ownership structures.¶¶¶
- Sets maximum screening deadlines: 90 days for initial review and in-depth investigation, 180 days for final decision, with specific milestones.¶
- Establishes a standardized appeal mechanism with appeals resolved within 60 days, overseen by the Commission.¶
- Adds criteria for assessing third-country government influence, including ownership over 25% and special governance rights.¶
- Requires public transparency resources and a central Commission portal with guidance and templates.¶
- Mandates Commission guidelines on control, SME procedures, and own-initiative screenings before application.¶
- Extends Commission's delegated power to 5 years with reporting and tacit extension unless opposed.¶
Who is affected
- Member States: must implement standardized screening procedures, timelines, and transparency measures.¶¶¶
- Foreign investors: benefit from clearer rules and reduced uncertainty, but face mandatory notification for opaque structures.¶¶¶
- European Commission: gains stronger role in opaque ownership cases and must issue guidelines and maintain a portal.¶¶¶