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International merger control and FDI: EU foreign subsidies proposal; Slovak JV threshold removed; Chile simplified notifications; global enforcement; new screening in the Czech Republic, Denmark, Germany and the UK

Practice notes
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Over the past month, a draft EU regulation addressing foreign subsidies has emerged (bringing in new merger notification thresholds), Slovakia has passed amendments to its merger regime (including threshold changes), and Chile has introduced a simplified notification procedure. The European Commission has unveiled proposals for a new framework to tackle the potentially distortive impact of foreign subsidies, setting out specific tools and processes. These initiatives operate alongside existing rules and focus on transactions and funding sources. From a merger control perspective, the package includes:

  • a notification-based instrument to scrutinise concentrations backed by a financial contribution from a non‑EU state, where the EU turnover of the target (or of at least one merging party) is €500m (approximately US$603.9m) or more and the foreign financial contribution is at least €50m (approximately US$60.4m), and
  • the Commission’s power to launch, on its own initiative, reviews of smaller concentrations that do not satisfy the thresholds above.

In addition, a notification tool is envisaged for specified public procurement tenders, alongside scope to examine other market situations. Where the Commission concludes that a subsidised deal raises concerns, it may prohibit the transaction; structural and/or behavioural remedies could also be imposed. Failure to comply with the notification tool...

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Web page updated on 21/05/2026

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