34 Amendments of Daniel BUDA related to 2021/0114(COD)
Amendment 40 #
Proposal for a regulation
Recital 1
Recital 1
(1) A strong, open, dynamic, durable and competitive internal market enables both European and foreign undertakingcompanies to compete on merits, while ensuring a level playing field. The Union benefits from a sophisticated and effective system of State aid control, aiming at ensuring fair conditions for all undertakings engaging in an economic activity in the internal market. This State aid control system prevents Member States from granting State aid that unduly distorts competition in the internal market and affects trade between Member States.
Amendment 41 #
Proposal for a regulation
Recital 2
Recital 2
(2) At the same time, undertakingsHowever, no mechanism yet exists to address internal market distortions caused by foreign subsidies. Specifically, undertakings operating on EU territory might receive subsidies from third countries, that provide public funds which are then used, for instance, to finance economic activities in the internal market in any sector of the economy, such as participation in public procurement tenders, or acquisitions of undertakings, including those with strategic assets such as critical infrastructure and innovative technologies. Such subsidies are currently not subject to Union State aid rules.
Amendment 46 #
Proposal for a regulation
Recital 3
Recital 3
(3) Foreign subsidies can distort the internal market, upset the functional balance thereof and undermine the level playing field for various economic activities in the Union. This could in particular occur in the context of concentrations entailing a change of control over Union undertakings, where such concentrations are fully or partially financed through foreign subsidies, or if undertakings benefiting from foreign subsidies are awarded public contracts in the Union.
Amendment 47 #
Proposal for a regulation
Recital 5
Recital 5
(5) The Member States have not adopted national legislation regarding foreign subsidies, although countries such as France, Germany, Poland, Italy or the Netherlands have highlighted the need for harmonised EU rules to address the issue. It is therefore necessary to complement existing Union instruments with a new tool to effectively deal with distortions in the internal market caused by foreign subsidies and ensure a level playing field together with an internal market climate that remains attractive to foreign investors. In particular, the new tool complements Union State aid rules which deal with distortions in the internal market caused by Member State subsidies.
Amendment 61 #
Proposal for a regulation
Recital 16
Recital 16
(16) The Commission should take into account the positive effects of the foreign subsidy on the development of the relevant subsidised economic activity. The Commission should weigh these positive effects against the proven negative effects of a foreign subsidy in terms of distortion on the internal market in order to determine, if applicable, the appropriate and proportional redressive measure or accept commitments. The balancing may also lead to the conclusion that no redressive measures should be imposed. Categories of foreign subsidies that are deemed most likely to distort the internal market are less likely to have more positive than negative effects.
Amendment 62 #
Proposal for a regulation
Recital 16
Recital 16
(16) The Commission should take into account the positive effects of the foreign subsidy on the development of the relevant subsidised economic activity. The Commission should weigh these positive effects against the proven negative effects of a foreign subsidy in terms of distortion on the internal market in order to determine, if applicable, the appropriate redressive measure or accept commitments. The balancing may also lead to the conclusion that no redressive measures should be imposed. Categories of foreign subsidies that are deemed most likely to distort the internal market are less likely to have more positive than negative effects.
Amendment 66 #
Proposal for a regulation
Recital 23
Recital 23
(23) Furthermore, where necessary to restore competition in the internal market immediately and to prevent irreparable harm, the Commission should have the power to adopt temporary interim measures.
Amendment 67 #
Proposal for a regulation
Recital 24
Recital 24
(24) In all cases where, as a result of the preliminary review, the Commission has sufficient indications of the existence of a foreign subsidy distorting the internal market, the Commission should have the power to launch an in-depth investigation to gather additional relevant information to assess the foreign subsidy, and to. It should inform the undertaking and Member States concerned about this fact and allow the interested parties to exercise their rights of defence.
Amendment 68 #
Proposal for a regulation
Recital 24
Recital 24
(24) In all cases where, as a result of the preliminary review, the Commission has sufficient indications of the existence of a foreign subsidy distorting the internal market, the Commission should have the power to launch an in-depth investigation to gather additional relevant information to assess the foreign subsidy and how it might distort the internal market, and to allow the interested parties to exercise their rights of defence.
Amendment 69 #
Proposal for a regulation
Recital 26
Recital 26
(26) The Commission should have appropriate instruments to ensure the effectiveness of commitments and redressive measures, ensuring that they are suitable and proportional. If the undertaking concerned does not comply with a decision with commitments, a decision imposing redressive measures, or a decision ordering temporary interim measures, the Commission should have the power to impose fines and periodic penalty payments.
Amendment 71 #
Proposal for a regulation
Recital 27
Recital 27
(27) In order to ensure the correct and effective application of this Regulation, the Commission should have the power to revoke a decision and adopt a new one, where the decision was based on incomplete, incorrect or misleading information, or where an undertaking acts contrary to its commitments or the redressive measures imposed. The Commission should duly justify the revocation of a decision and the need to adopt a new decision.
Amendment 76 #
Proposal for a regulation
Recital 39
Recital 39
(39) In the interest of transparency and legal certainty, it is appropriate to publish either in full or at least in a summary form all decisions adopted by the Commission and forward them as soon as possible to all concerned.
Amendment 80 #
Proposal for a regulation
Article 1 – paragraph 1
Article 1 – paragraph 1
(1) This Regulation lays down rules and procedures for investigating foreign subsidies that distort the internal market and for redressing such distortions with a view to ensuring a level playing field for the functioning of the internal market. Such distortions may arise with respect to any economic activity, and in particular in concentrations and public procurement procedures.
Amendment 86 #
Proposal for a regulation
Article 2 – paragraph 2 – point a – point ii
Article 2 – paragraph 2 – point a – point ii
(ii) the foregoing of revenue that is otherwise due; or
Amendment 87 #
Proposal for a regulation
Article 2 – paragraph 2 – point a – point ii a (new)
Article 2 – paragraph 2 – point a – point ii a (new)
(iia) inadequately remunerated special or exclusive rights or alternatively:
Amendment 88 #
Proposal for a regulation
Article 2 – paragraph 2 – point a – point ii a (new)
Article 2 – paragraph 2 – point a – point ii a (new)
(ii a) inadequately remunerated special or exclusive rights; or
Amendment 96 #
Proposal for a regulation
Article 3 – paragraph 1 – point d
Article 3 – paragraph 1 – point d
(d) the level and evolution of economic activity of the undertaking concerned on the internal market;
Amendment 102 #
Proposal for a regulation
Article 5 – paragraph 1
Article 5 – paragraph 1
(1) The Commission shall, where warranted, balance the proven negative effects of a foreign subsidy in terms of distortion on the internal market with positive effects on the development of the relevant economic activity.
Amendment 103 #
Proposal for a regulation
Article 5 – paragraph 2
Article 5 – paragraph 2
(2) The Commission shall take into account the balancing between the proven negative and positive effects when deciding whether to impose redressive measures or to accept commitments, and the nature and level, suitability and proportionality of those redressive measures or commitments.
Amendment 104 #
Proposal for a regulation
Article 5 – paragraph 2
Article 5 – paragraph 2
(2) The Commission shall take into account the balancing between the proven negative and positive effects when deciding whether to impose redressive measures or to accept commitments, and the nature and level of those redressive measures or commitments.
Amendment 108 #
Proposal for a regulation
Article 6 – paragraph 1
Article 6 – paragraph 1
(1) To remedy the distortion on the internal market actually or potentially caused by a foreign subsidy, the Commission may impose suitable and proportional redressive measures. The undertaking concerned may also offer commitments.
Amendment 109 #
Proposal for a regulation
Article 6 – paragraph 2
Article 6 – paragraph 2
(2) Commitments or redressive measures shall fully and effectively remedy the distortion actually or potentially caused by the foreign subsidy in the internal market.
Amendment 110 #
Proposal for a regulation
Article 6 – paragraph 3 – introductory part
Article 6 – paragraph 3 – introductory part
(3) Commitments or redressive measures may inter alia consist of the following:
Amendment 111 #
Proposal for a regulation
Article 6 – paragraph 4
Article 6 – paragraph 4
(4) The Commission may impose reporting and transparency requirements and follow-up on them.
Amendment 112 #
Proposal for a regulation
Article 6 – paragraph 6
Article 6 – paragraph 6
(6) Where the undertaking concerned proposes to repay the foreign subsidy including an appropriate interest rate, the Commission shall accept such repayment as commitment ifonly where it can ascertain that the repayment is transparent and effective, effective and adequately remedies the actual distortion caused, while taking into account the risk of circumvention.
Amendment 115 #
Proposal for a regulation
Article 7 – paragraph 1
Article 7 – paragraph 1
The Commission may on its own initiative examine information from any source, including Member States and undertakings or their professional associations, regarding alleged distortive foreign subsidies.
Amendment 118 #
Proposal for a regulation
Article 8 – paragraph 2 – point b
Article 8 – paragraph 2 – point b
(b) inform the undertaking and Member States concerned; and
Amendment 120 #
Proposal for a regulation
Article 8 – paragraph 3
Article 8 – paragraph 3
(3) Where the Commission, after a preliminary assessment, concludes that there are no sufficient grounds to initiate the in-depth investigation, either because there is no foreign subsidy or because there are no indications of an actual or potential distortion on the internal market, it shall close the preliminary review and inform the undertaking and Member States concerned.
Amendment 122 #
Proposal for a regulation
Article 10 – paragraph 1 – introductory part
Article 10 – paragraph 1 – introductory part
The Commission may take temporary interim measures, where:
Amendment 132 #
Proposal for a regulation
Article 15 – paragraph 1 – introductory part
Article 15 – paragraph 1 – introductory part
(1) The Commission may impose by decision fines and periodic penalty payments where an undertaking concerned or an association of undertakings concerned, intentionally or negligently:
Amendment 141 #
Proposal for a regulation
Article 16 – paragraph 1 – point 1 a (new)
Article 16 – paragraph 1 – point 1 a (new)
(1a) In accordance with point (1), the Commission shall duly justify the revocation of the decision and the suitability of adopting a new decision.
Amendment 152 #
Proposal for a regulation
Article 33 – paragraph 1
Article 33 – paragraph 1
(1) A financial contribution notified in the context of a concentration under Article 19 may be relevant and assessed again under this Regulation in relation to another economic activity.
Amendment 153 #
Proposal for a regulation
Article 33 – paragraph 2
Article 33 – paragraph 2
(2) A financial contribution notified in the context of a public procurement procedure under Article 28 may be relevant and assessed again under this Regulation in relation to another economic activity.
Amendment 155 #
Proposal for a regulation
Article 34 – paragraph 2
Article 34 – paragraph 2
(2) TSubject to the legislation in force regarding the protection of trade secrets and other confidential business information, the Commission may publish a report on the results of its market investigation into particular sectors, particular types of economic activity or particular subsidy instruments and invite comments from interested parties.