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ARTICLE · 04 MARCH 2025

European Commission Issues Recommendation On The Implementation Of Outbound Investment Screening Mechanisms

On 15 January 2025, the European Commission (EC) has issued a legally non-binding Recommendation (EU) 2025/63, recommending the adoption of screening mechanisms at EU Member State Level for outbound investments by European investors to third countries with respect to specific, particularly sensitive sectors

GermanyStrategy

On 15 January 2025, the European Commission (EC) has issued a legally non-binding Recommendation (EU) 2025/63, recommending the adoption of screening mechanisms at EU Member State Level for outbound investments by European investors to third countries with respect to specific, particularly sensitive sectors. The EU Member States are requested to report on the measures to implement the recommendation until 15 July 2025 and more comprehensively by 30 June 2026. The introduction of an outbound investment screening mechanism forms part of the EU's European Economic Security Strategy.

Key Takeaways

The European Commission (EC) has issued Recommendation (EU) 2025/63 on 15 January 2025 urging the EU Member States to introduce mechanisms for the screening of outbound investments in specific sectors (semiconductors, artificial intelligence (AI), and quantum technologies).

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