This thesis examines the European paradigm shift (i.e., from unconditional openness to foreign direct investment to the statement “we are not naive free traders” pronounced by the former President of the European Commission Jean-Claude Juncker) toward the concerns raised by the Franco-German Manifesto and the subsequent interventions of European legislator. The research will focus on the new Foreign Direct Investments Screening Regulation and Cybersecurity Regulation. Furthermore, this thesis addresses a final proposal for a regulation to address state aid from non-European countries, as well as prospects for amending European competition law to meet Member States' desire to create "national and European champions".
Globalization, the development of new technologies and the recent COVID-19 pandemic crisis prompted the reopening of old issues in the European Union concerning the demand for protection and the interplay between industrial policy and European competition law. To preserve the internal market, sovereignty and the future economic independence of Europe, unified and strategic European thinking is required. In this vein, Germany and France formulated an industrial policy proposal to induce the European Union to amend its rules on the subject, now perceived as 'outdated' when confronted with increasingly fierce industrial competition from the Asian powers and the United States. This understanding, labelled as the Franco-German Manifesto, illustrates Member States' concerns on the need for new European defence tools for technologies, companies and the European market, along with the reform of the current regulatory framework to enable European companies to compete globally.
The analysis performed in this thesis thus investigates the rationale underpinning the new regulations and their approach to the critical issues highlighted by the Member States. The scrutiny of the mentioned regulations will concentrate on their effectiveness in countering risks related to (i) foreign acquisition of strategic assets, (ii) new technologies, and (iii) distortions of the internal market due to the lack of a global level playing field, will lead this thesis to argue in favour of further action by the legislator.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Background information and scope of research
- Analysis structure and research methods
- National concerns and the European Commission's paradigm shift
- The evolution of the European approach
- The request for strategic thinking in a new European Industrial policy
- National concerns and the European Union
- Foreign direct investment screening in Europe and the European Commission's paradigm shift
- Toward a level playing field: Foreign direct investment screening in Europe
- Cooperation mechanisms for European screening
- Concluding remarks and de iure condendo perspectives
- Analysis of the first year of screening
- The 5G revolution and the need for a European cybersecurity framework
- Concluding remarks
- The demands of competition law innovation and the search for national and European champions
- The return of a debate that has never been entirely dormant
- Industrial policies, competition law and their reconciliation perspectives
- Reflections and final thoughts
- The proposal for a regulation on foreign subsidies
- The path toward a global level playing field within the internal market
- The evaluation process of subsidies and their effects
- Corrective measures and the European Commission's investigation powers
- Mergers and acquisitions review
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This thesis aims to examine the European response to concerns regarding foreign direct investment (FDI) competition raised by Member States, particularly in the context of the Franco-German Manifesto. It investigates the rationale behind new regulations, such as the Foreign Direct Investment Screening Regulation and the Cybersecurity Regulation, and their effectiveness in addressing concerns related to foreign acquisition of strategic assets, new technologies, and distortions of the internal market.
- The impact of the Franco-German Manifesto on European FDI policy
- The need for strategic thinking in a new European industrial policy
- The effectiveness of EU-level measures in addressing concerns related to foreign investment
- The interplay between industrial policy, competition law, and national security
- The role of cybersecurity in safeguarding strategic technologies and critical infrastructure
Zusammenfassung der Kapitel (Chapter Summaries)
The thesis begins by introducing the background information and scope of research, highlighting the growing concern over foreign investment and its potential impact on strategic national interests. It then examines the evolution of the European approach to FDI, from unconditional openness to a more cautious stance. Chapter 2 delves into the specific concerns raised by Member States and the demand for a unified European strategy to address those concerns. Chapter 3 analyzes the new Foreign Direct Investment Screening Regulation, emphasizing its goal of creating a level playing field for European businesses and its effectiveness in mitigating risks related to foreign acquisitions. Chapter 4 explores the demands for competition law innovation and the search for national and European champions, focusing on the proposed regulation on foreign subsidies and its implications for the internal market.
Schlüsselwörter (Keywords)
The key themes and concepts explored in this thesis include: competition law, cybersecurity, foreign direct investment screening, Franco-German Manifesto, industrial policy, internal market, level playing field, merger control, reciprocity, and state aid.
- Quote paper
- Cosimo Marcantuono (Author), 2022, Foreign Direct Investment and Competition Policy after the Franco-German Manifesto. Embedding Political Dissent in Law, Munich, GRIN Verlag, https://www.grin.com/document/1321669
