Foreign Subsidies Regulation: Impact On Tendering For Infrastructure Projects

The European Union's recently adopted Foreign Subsidies Regulation (FSR) has created new challenges and raised questions for companies participating in tender procedures for large infrastructure projects. Adjustments will especially be required for EU companies with affiliates in non-EU countries and third-country companies engaging in the EU Internal Market.

The FSR will apply from 12 July 2023. The Commission has recently published its draft Implementing Regulation and collected comments, with a view to adopt a final text in Q2 2023. In this article, we examine the FSR's implications for tender procedures and highlight some of the legal uncertainties it introduces.

Foreign subsidy