The notification requirements under the Foreign Subsidies Regulation (FSR) apply from 12 October 2023. The European Commission must be notified of mergers and acquisitions if the parties involved have received subsidies from countries outside the EU. The same applies in cases where tenderers receiving subsidies from non-EU countries are involved in public procurement procedures.
The FSR together with its implementing regulation are a new independent legal regime aimed at protecting the European Single Market and competition within the EU, though they are overwhelmingly based on familiar instruments under antitrust and state aid law.
All public and private market players need to be aware of the FSR if companies with close links to third countries and their public funds have a strong presence in their market environment. This GSK Update provides an initial overview of the most important obligations, procedures and sanctions under the FSR.
