ARTICLE · 18 JULY 2017

Germany Tightens Rules For Foreign Investments

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The German Federal Government enacted a Regulation amending the German Foreign Trade Ordinance on 12 July 2017.

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Daniel Wiedmann

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The German Federal Government enacted a Regulation amending the German Foreign Trade Ordinance on 12 July 2017. The amendment will tighten the review of acquisitions of German companies by investors from non-EU and non-EFTA countries. Recently, there has been a significant increase in the frequency of reviews of such transactions by the German Federal Ministry of Economics and Technology ("BMWi"). The amendment is expected to enter into force soon.

Key Facts

Broad interpretation of transactions that may endanger public security or order
Introduction of a notification obligation for in-vestments in critical infrastructure
Extension of review periods and information obligations

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