On September 13, 2017, the European Commission (the Commission) adopted a proposal for a regulation establishing a framework for the screening of foreign direct investment (FDI) into the EU on the grounds of security or public order (the proposed Regulation).
This means that, as in the US, significant FDI in the EU will be subject to a rigorous screening and approval process once the proposed Regulation comes into force.
Why is the EU launching this FDI screening framework? What is the EU FDI Screening Framework? Will the upcoming EU FDI screening framework be comparable to CFIUS? What impact will EU FDI screening have on Chinese investments? We aim to answer these questions in this article.
Dentons is the world's first polycentric global law firm. A top 20 firm on the Acritas 2015 Global Elite Brand Index, the Firm is committed to challenging the status quo in delivering consistent and uncompromising quality and value in new and inventive ways. Driven to provide clients a competitive edge, and connected to the communities where its clients want to do business, Dentons knows that understanding local cultures is crucial to successfully completing a deal, resolving a dispute or solving a business challenge. Now the world's largest law firm, Dentons' global team builds agile, tailored solutions to meet the local, national and global needs of private and public clients of any size in more than 125 locations serving 50-plus countries. www.dentons.com.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
