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The European Foreign Subsidies Regulation: Effective Means of Protecting Strategic Infrastructure or an Investment Impediment?

The European policy discourse is shifting away from economic openness to emphasizing security concerns in the context of Chinese stakes in strategic infrastructure. The European Foreign Subsidies Regulation is another piece of the puzzle that could change the balance of power between the EU institutions and national governments. While the mechanism promises to bring a more cohesive handling of Chinese bids for public contracts and M&A transactions buttressed by subsidies, it could also spark tensions within the EU.