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European Commission proposes framework for screening of foreign direct investments

Jaclyn Jaeger | September 26, 2017

In his annual State of the Union address this month, European Commission President Jean-Claude Juncker proposed a new EU framework for screening of foreign direct investments.

“If a foreign, state-owned, company wants to purchase a European harbour, part of our energy infrastructure or a defence technology firm, this should only happen in transparency, with scrutiny and debate,” Juncker said. “It is a political responsibility to know what is going on in our own backyard so that we can protect our collective security if needed.”

The European Commission unveiled proposals on 13 September to set up a European framework for screening foreign direct investment into the European Union. In parallel, the Commission said it will start a detailed analysis of the foreign direct investment flows into the EU and set up a coordination group with Member States to help identify...

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