Netherlands Expands Investment Screening to Protect AI and Biotech Sectors

• •The Netherlands will expand investment screening to include AI and biotech from January 2027.
• •The move is a response to national security threats, including cyber operations and espionage.
• •Hundreds of companies will be affected by the mandatory government review of foreign investments.

The Dutch government will implement expanded investment screening for AI, biotech, and four other technology sectors starting January 2027. This move affects hundreds of companies and follows concerns over national security, particularly in light of foreign cyber operations and espionage. Economic Affairs Minister Heleen Herbert emphasized the need to protect critical knowledge and innovations. The expansion adds AI, advanced materials, nanotechnology, sensor technology, nuclear technology for medical use, and biotechnology to the existing screening law, which already includes semiconductors and quantum computing. The government can block foreign investments deemed a threat to national security, impacting both adversaries and allies. This decision aligns with broader European efforts to tighten investment screening in critical technologies. The new rules are subject to parliamentary review before taking effect.