The Luxembourg competition authority has launched a consultation process regarding the future guidelines for the implementation of the regulation on foreign subsidies. Interested individuals and organizations can submit their opinions until April 2.

This regulation, which has been in effect since July 13, 2023, aims to address market distortions caused by subsidies from third countries. While companies operating within the EU have been subject to strict controls on state aid from European countries, subsidies from non-EU countries previously went unchecked. The regulation now ensures a level playing field for all businesses in the internal market.

The upcoming guidelines will clarify the criteria for assessing the impact of foreign subsidies on mergers, participation in public procurement processes, concessions, and other economic activities within the internal market.

The Commission will also conduct targeted consultations with member states and various stakeholders, including legal and economic professionals, authorities, universities, practitioner associations, and consumers.

The competition authority is closely monitoring the implementation of this regulation, as it is responsible for assisting the European Commission in overseeing foreign subsidies that distort the functioning of the internal market.