MARIO BARBANO, Foreign subsidies: material scope and sectoral enforcement of Regulation (EU) No 2560/2022

ABSTRACT – The paper analyses the relationship between Regulation (EU) No 2560/2022 (‘Foreign Subsidies Regulation’ or ‘FSR’) and EU legislation addressing foreign subsidies distorting competition in specific sectors. After a brief overview of the international framework (par. 2) and of the main features of the FSR, the relationship with the World Trade Organization (‘WTO’) regime and with EU secondary legislation is examined. Trade defense instruments currently in force and applicable to the transport sector (esp. Reg. (EU) No 712/2019 and Reg. (EEC) No. 4057/86) provide some insights into the future enforcement of the FSR, especially in terms of potential ‘deterrence’ to third countries’ economic strategies. In conclusion, Commission guidance seems necessary to better clarify the material scope of the FSR and, by doing so, enhancing legal certainty for companies operating in the internal market.


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