Aol EU Proposes Regulations to Limit Foreign Influence in Public Procurement
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- •EU plans to tighten public procurement rules to limit foreign company participation.
- •Draft regulations allow exclusion of bids with less than 50% European content.
- •Proposal aims to enhance security and reduce dependency on foreign suppliers.
The European Commission is drafting regulations to restrict foreign companies from public procurement contracts, citing risks of interference and data leaks, particularly from China and the US. The proposal allows authorities to exclude bids with less than 50% European content and emphasizes security in procurement processes. It aims to protect critical infrastructure and services from foreign influence, particularly in sectors like energy and transport. The draft regulation, which will require approval from EU member states, is part of a broader strategy to reduce dependency on foreign suppliers and enhance cybersecurity. The proposal is set to be presented in September 2026, following delays in its announcement schedule. The EU's public procurement accounts for approximately 15% of its GDP, making it a significant economic tool.
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