Activities of Emmanuel MAUREL related to 2021/0114(COD)
Shadow reports (1)
REPORT on the proposal for a regulation of the European Parliament and of the Council on foreign subsidies distorting the internal market
Amendments (46)
Amendment 58 #
Proposal for a regulation
Recital 12
Recital 12
(12) Once the existence of a foreign subsidy is established, the Commission should assess whether the foreign subsidy distorts the internal market. Unlike State aid granted by a Member State, foreign subsidies are not generally prohibited. This asymmetry should prompt the EU to revise its own rules to offer better support to companies through State aid and to help implement an industrial strategy capable of enhancing our economy's potential for job and value creation. Subsidies in the form of export financing may be a cause of particular concern because of their distortive effects. This is not the case if such financing is provided in line with the OECD Arrangement on officially supported export credits. The Commission should assess on a case-by- case basis whether a foreign subsidy distorts the internal market.
Amendment 63 #
Proposal for a regulation
Recital 21
Recital 21
(21) The Commission should have the power, on its own initiative, to examine any information on foreign subsidies. The Commission should be able to act on the basis of information received from all relevant sources, particularly Member States but also companies, professional associations, local authorities, unions and non-governmental organisations. To this end, it is necessary to establish a procedure consisting of two steps, namely a preliminary review and an in-depth investigation.
Amendment 64 #
Proposal for a regulation
Recital 21
Recital 21
(21) The Commission should have the power, on its own initiative, to examine any information on foreign subsidies or any other non-financial benefit from a third country, whether this consists of standards or practices of a specific or general nature, that results in the same effect as a subsidy. To this end, it is necessary to establish a procedure consisting of two steps, namely a preliminary review and an in-depth investigation.
Amendment 70 #
Proposal for a regulation
Recital 26
Recital 26
(26) The Commission should have appropriate instruments to ensure the effectiveness of commitments and redressive measures. If the undertaking concerned does not comply with a decision with commitments, a decision imposing redressive measures, or a decision ordering interim measures, the Commission should have the power to impose fines and periodic penalty payments of a value high enough to put a stop to the potential or actual distortion of the internal market, so that they have a deterrent effect.
Amendment 75 #
Proposal for a regulation
Recital 36
Recital 36
(36) Foreign subsidies and all other non-financial measures with an equivalent effect that enable an undertaking to submit a tender which is unduly advantageous in relation to the works, supplies or services concerned should be deemed to actually or potentially create a distortion in a public procurement procedure. Those distortions should therefore be assessed on the basis of the non-exhaustive set of indicators described in recitals 13 and 14 as well as the notion of unduly advantageous tender. The indicators should allow to determine how the foreign subsidy distorts competition by improving the competitive position of an undertaking and enabling it to submit an unduly advantageous tender. The opportunity should be given to undertakings to justify that the tender is not unduly advantageous, including by adducing the elements referred to in Article 69(2) of Directive 2014/24/EU. The prohibition of the award should only apply where the advantageous nature of the tender benefiting from foreign subsidies cannot be justified, the tender would be awarded the contract and the undertaking submitting the tender did not offer commitments considered appropriate and sufficient to fully and effectively remove the distortion.
Amendment 83 #
Proposal for a regulation
Recital 12
Recital 12
(12) Once the existence of a foreign subsidy is established, the Commission should assess whether the foreign subsidy distorts the internal market. Unlike State aid granted by a Member State, foreign subsidies are not generally prohibited. This asymmetry should incentivise the EU to revise its own rules to offer better support to companies through State aid and to help implement an industrial strategy capable of boosting EU creation of value and jobs. Subsidies in the form of export financing may be a cause of particular concern because of their distortive effects. This is not the case if such financing is provided in line with the OECD Arrangement on officially supported export credits. The Commission should assess on a case-by- case basis whether a foreign subsidy distorts the internal market.
Amendment 83 #
Proposal for a regulation
Article 2 – paragraph 1
Article 2 – paragraph 1
(1) For the purpose of this Regulation, a foreign subsidy or any other measure with an equivalent effect shall be deemed to exist where a third country provides a financial or non-financial contribution which confers a benefit to an undertaking engaging in an economic activity in the internal market and which is limited, in law or in fact, to an individual undertaking or industry or to several undertakings or industries.
Amendment 98 #
Proposal for a regulation
Article 3 – paragraph 2
Article 3 – paragraph 2
Amendment 99 #
(21) The Commission should have the power, on its own initiative, to examine any information on foreign subsidies or any other non-financial benefit from a third country that results in the same effect as a subsidy, whether this involves standards or practices of a specific or general nature. To this end, it is necessary to establish a procedure consisting of two steps, namely a preliminary review and an in-depth investigation.
Amendment 100 #
Proposal for a regulation
Article 4 – paragraph 1 – point 4 a (new)
Article 4 – paragraph 1 – point 4 a (new)
(4a) Any other non-financial measure with an effect equivalent to a subsidy for the beneficiary.
Amendment 101 #
Proposal for a regulation
Recital 21
Recital 21
(21) The Commission should have the power, on its own initiative, to examine any information on foreign subsidies. The Commission should be able to act on the basis of information received from all relevant sources, including Member States in particular but also companies, professional associations, local authorities, unions and non-governmental organisations. To this end, it is necessary to establish a procedure consisting of two steps, namely a preliminary review and an in-depth investigation.
Amendment 107 #
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 redressive measures. The undertaking concerned may also offer commitmentstangible and verifiable commitments to put an end as quickly as possible to the potential or actual distortion caused by a subsidy or other benefit with an equivalent effect.
Amendment 113 #
Proposal for a regulation
Article 7 – paragraph 1
Article 7 – paragraph 1
1. The Commission may on its own initiative examine information from any source regarding alleged distortive foreign subsidies. 2.The Commission shall hand the ex officio procedure over to the competent authorities of the Member States if the company receiving the subsidy or other benefit with an equivalent effect has a turnover of under EUR 250 million. 3. The provisions of Articles 8, 9, 11 and 12 of this Regulation shall be devolved to the competent authorities of the Member States if the turnover of the companies receiving the subsidy or other benefit with an equivalent effect is under EUR 250 million.
Amendment 114 #
Proposal for a regulation
Recital 26
Recital 26
(26) The Commission should have appropriate instruments to ensure the effectiveness of commitments and redressive measures. If the undertaking concerned does not comply with a decision with commitments, a decision imposing redressive measures, or a decision ordering interim measures, the Commission should have the power to impose fines and periodic penalty payments of a value high enough to put a stop to the potential or actual distortion of the internal market, so that they have a deterrent effect.
Amendment 121 #
Proposal for a regulation
Article 10 – paragraph 1 – introductory part
Article 10 – paragraph 1 – introductory part
The Commission or the Member State to which a referral is made by the Commission pursuant to Article 7(2) and (3) may take interim measures, where:
Amendment 124 #
Proposal for a regulation
Article 10 – paragraph 1 – point 1
Article 10 – paragraph 1 – point 1
(1) there are indications that a financial contribution constitutes a foreign subsidy and distorts the internal market; andor
Amendment 127 #
Proposal for a regulation
Article 11 – paragraph 1
Article 11 – paragraph 1
(1) The Commission or the Member State to which a referral is made by the Commission pursuant to Article 7(2) and (3) may require an undertaking concerned to provide all necessary information.
Amendment 133 #
(2) Fines imposed in the cases referred to in paragraph 1 shall not exceed 10 % of the aggregate turnover of the undertaking or association of undertakings concerned in the preceding business year.
Amendment 135 #
Proposal for a regulation
Article 15 – paragraph 3
Article 15 – paragraph 3
(3) Periodic penalty payments imposed in the cases referred to in paragraph 1 shall not exceed 15% of the average daily aggregate turnover of the undertaking or association of undertakings concerned in the preceding business year for each working day of delay, calculated from the date established in the decision, until it submits complete and correct information as requested by the Commission.
Amendment 140 #
Proposal for a regulation
Recital 36
Recital 36
(36) Foreign subsidies or any other non-financial measure with an equivalent effect that enable an undertaking to submit a tender which is unduly advantageous in relation to the works, supplies or services concerned should be deemed to actually or potentially create a distortion in a public procurement procedure. Those distortions should therefore be assessed on the basis of the non-exhaustive set of indicators described in recitals 13 and 14 as well as the notion of unduly advantageous tender. The indicators should allow to determine how the foreign subsidy distorts competition by improving the competitive position of an undertaking and enabling it to submit an unduly advantageous tender. The opportunity should be given to undertakings to justify that the tender is not unduly advantageous, including by adducing the elements referred to in Article 69(2) of Directive 2014/24/EU. The prohibition of the award should only apply where the advantageous nature of the tender benefiting from foreign subsidies cannot be justified, the tender would be awarded the contract and the undertaking submitting the tender did not offer commitments considered appropriate and sufficient to fully and effectively remove the distortion.
Amendment 142 #
Proposal for a regulation
Article 18 – paragraph 3 – point b
Article 18 – paragraph 3 – point b
(b) the undertakings concerned received from third countries an aggregate financial contribution in the three calendar years prior to notification of more than EUR 250 million.
Amendment 143 #
Proposal for a regulation
Article 18 – paragraph 4 – point a
Article 18 – paragraph 4 – point a
(a) the joint venture itself or one of its parent undertakings is established in the Union and generates an aggregate turnover in the Union of at least EUR 5100 million; and
Amendment 144 #
Proposal for a regulation
Article 18 – paragraph 4 – point a a (new)
Article 18 – paragraph 4 – point a a (new)
(aa) the joint venture itself or one of its parent undertakings is established in the Union and generates an aggregate turnover in the Union of at least EUR 250 million; and
Amendment 145 #
Proposal for a regulation
Article 18 – paragraph 4 – point b
Article 18 – paragraph 4 – point b
(b) the joint venture itself and its parent undertakings received from third countries an aggregate financial contribution in the three calendar years prior to notification of more than EUR 250 million.
Amendment 147 #
Proposal for a regulation
Article 27 – paragraph 2
Article 27 – paragraph 2
(2) For the purpose of Article 28, a notifiable foreign financial contribution in an EU public procurement procedure shall be deemed to arise where the estimated value of that public procurement is equal or greater than EUR 25100 million.
Amendment 149 #
Proposal for a regulation
Article 28 – paragraph 2
Article 28 – paragraph 2
(2) The obligation to notify foreign financial contributions under this paragraph shall extend to economic operators, groups of economic operators referred to in Article 26(2) of Directive 2014/23/EU, Article 19(2) of Directive 2014/24/EU and Article 37(2) of Directive 2014/25/EU, main subcontractors and main suppliers. A subcontractor or supplier shall be deemed to be main where their participation ensures key elements of the contract performance and in any case where the economic share of their contribution exceeds 320% of the estimated value of the contract. A parent undertaking or subsidiaries of tenderers shall be deemed to provide support where the assets or services provided ensure key elements of contract performance and/or provide the technical and financial capacity referred to in the request to participate and where the economic share of their contribution exceeds 20% of the estimated value of the contract.
Amendment 150 #
Proposal for a regulation
Article 29 – paragraph 2
Article 29 – paragraph 2
(2) The Commission shall carry out a preliminary review no later than 690 days after it received the notification.
Amendment 157 #
Proposal for a regulation
Article 44 – paragraph 1
Article 44 – paragraph 1
Amendment 168 #
Proposal for a regulation
Article 2 – paragraph 1
Article 2 – paragraph 1
(1) For the purpose of this Regulation, a foreign subsidy or any other measure with an equivalent effect shall be deemed to exist where a third country provides a financial or non-financial contribution which confers a benefit to an undertaking engaging in an economic activity in the internal market and which is limited, in law or in fact, to an individual undertaking or industry or to several undertakings or industries.
Amendment 205 #
Proposal for a regulation
Article 3 – paragraph 2
Article 3 – paragraph 2
Amendment 223 #
Proposal for a regulation
Article 4 – paragraph 1 – point 4 a (new)
Article 4 – paragraph 1 – point 4 a (new)
(4a) Any non-financial measure with an equivalent effect to a subsidy for the beneficiary
Amendment 253 #
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 redressive measures. The undertaking concerned may also offer commitmentstangible and verifiable commitments to put an end as quickly as possible to the potential or actual distortion caused by a subsidy or other benefit with an equivalent effect.
Amendment 276 #
Proposal for a regulation
Article 7 – paragraph 1
Article 7 – paragraph 1
1. The Commission may on its own initiative examine information from any source regarding alleged distortive foreign subsidies. 2.The Commission shall hand the ex officio procedure over to the competent authorities of the Member States if the company receiving the subsidy or other benefit with an equivalent effect has a turnover of under EUR 250 000 000. 3. The provisions of Articles 8, 9, 11 and 12 of this Regulation shall be devolved to the competent authorities of the Member States if the turnover of the companies receiving the subsidy or other benefit with an equivalent effect is under EUR 250 000 000.
Amendment 307 #
Proposal for a regulation
Article 10 – paragraph 1 – introductory part
Article 10 – paragraph 1 – introductory part
The Commission or the Member State to which a referral is made by the Commission pursuant to Article 7(2) and (3) may take interim measures, where:
Amendment 313 #
Proposal for a regulation
Article 10 – paragraph 1 – point 1
Article 10 – paragraph 1 – point 1
(1) there are indications that a financial contribution constitutes a foreign subsidy and distorts the internal market; andor
Amendment 320 #
Proposal for a regulation
Article 11 – paragraph 1
Article 11 – paragraph 1
(1) The Commission or the Member State to which a referral is made by the Commission pursuant to Article 7(2) and (3) may require an undertaking concerned to provide all necessary information.
Amendment 356 #
Proposal for a regulation
Article 15 – paragraph 2
Article 15 – paragraph 2
(2) Fines imposed in the cases referred to in paragraph 1 shall not exceed 10 % of the aggregate turnover of the undertaking or association of undertakings concerned in the preceding business year.
Amendment 358 #
Proposal for a regulation
Article 15 – paragraph 3
Article 15 – paragraph 3
(3) Periodic penalty payments imposed in the cases referred to in paragraph 1 shall not exceed 15% of the average daily aggregate turnover of the undertaking or association of undertakings concerned in the preceding business year for each working day of delay, calculated from the date established in the decision, until it submits complete and correct information as requested by the Commission.
Amendment 374 #
Proposal for a regulation
Article 18 – paragraph 3 – point b
Article 18 – paragraph 3 – point b
(b) the undertakings concerned received from third countries an aggregate financial contribution in the three calendar years prior to notification of more than EUR 250 million.
Amendment 379 #
Proposal for a regulation
Article 18 – paragraph 4 – point a
Article 18 – paragraph 4 – point a
(a) the joint venture itself or one of its parent undertakings is established in the Union and generates an aggregate turnover in the Union of at least EUR 5100 million; and
Amendment 384 #
Proposal for a regulation
Article 18 – paragraph 4 – point a a (new)
Article 18 – paragraph 4 – point a a (new)
(aa) the joint venture itself or one of its parent undertakings is established in the Union and generates an aggregate turnover in the Union of at least EUR 250 million; and
Amendment 385 #
Proposal for a regulation
Article 18 – paragraph 4 – point b
Article 18 – paragraph 4 – point b
(b) the joint venture itself and its parent undertakings received from third countries an aggregate financial contribution in the three calendar years prior to notification of more than EUR 250 million.
Amendment 420 #
Proposal for a regulation
Article 27 – paragraph 2
Article 27 – paragraph 2
(2) For the purpose of Article 28, a notifiable foreign financial contribution in an EU public procurement procedure shall be deemed to arise where the estimated value of that public procurement is equal or greater than EUR 25100 million.
Amendment 437 #
Proposal for a regulation
Article 28 – paragraph 2
Article 28 – paragraph 2
(2) The obligation to notify foreign financial contributions under this paragraph shall extend to economic operators, groups of economic operators referred to in Article 26(2) of Directive 2014/23/EU, Article 19(2) of Directive 2014/24/EU and Article 37(2) of Directive 2014/25/EU, main subcontractors and main suppliers. A subcontractor or supplier shall be deemed to be main where their participation ensures key elements of the contract performance and in any case where the economic share of their contribution exceeds 320% of the estimated value of the contract. A parent undertaking or subsidiaries of tenderers shall be deemed to provide support where the assets or services provided ensure key elements of contract performance and/or provide the technical and financial capacity referred to in the request to participate and where the economic share of their contribution exceeds 20% of the estimated value of the contract.
Amendment 451 #
Proposal for a regulation
Article 29 – paragraph 2
Article 29 – paragraph 2
(2) The Commission shall carry out a preliminary review no later than 690 days after it received the notification.
Amendment 511 #
Proposal for a regulation
Article 44 – paragraph 1
Article 44 – paragraph 1