EU unveils ‘buy European’ public procurement rules to counter China
Summary
The European Commission has proposed new public procurement rules to encourage European public agencies to buy more goods and services made in Europe. The plan aims to give public buyers more clarity and the option to prefer European products over non-European ones, especially from countries without fair procurement agreements, to address competition from subsidized Chinese companies.Key Facts
- The EU wants public bodies like schools and hospitals to buy more European-made goods and services.
- The new rules do not set mandatory quotas but encourage preference for European products.
- The plan aims to clarify that public buyers can choose European bids over cheaper non-European ones.
- The European Commission is concerned about Chinese firms using state subsidies to undercut European companies.
- In April, the EU blocked a Chinese company from joining a metro project due to unfair subsidy advantage.
- An investigation is ongoing into a Chinese security firm suspected of benefiting from unfair subsidies.
- The proposals must be approved by the European Parliament and EU member states before becoming law.
- The rules are part of a broader move to support European industry and simplify procurement laws.
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