EU states to review critical foreign tech investments Brussels, Belgium, Jan 15 (AFP) Jan 15, 2025 The EU urged member states on Wednesday to scrutinise the potential risks of European companies' investments abroad amid fears of technology leaks in strategic industries. Brussels has increasingly focused on tackling threats to the European economy after coronavirus pandemic-related supply chain disruptions and then the energy crisis caused by Russia's 2022 invasion of Ukraine exposed its vulnerabilities. The European Commission recommended countries review "risks to economic security" between Europe and non-EU countries in three sectors: semiconductors, artificial intelligence and quantum technologies. There is growing concern of know-how falling into "the wrong hands", it said, but did not mention China, with which it has increasingly tense trade relations. "The commission's ultimate objective is to prevent EU outbound investments from negatively impacting the economic security of the union," it said in a statement. The EU made no reference either to the war in Ukraine or to the return of Donald Trump to the White House in the United States. But the EU's trade chief Maros Sefcovic referred to the "geopolitics of today" which brings "potential risks". "The assessment of EU outbound investment in key technology areas will allow us to have a clearer picture of potential threats we face," Sefcovic said. Trump has threatened sweeping tariffs on China and even US allies including the EU. The commission wants countries to review ongoing and past transactions, going back to January 2021, and says they must provide a full report on the risks identified by March 2026. |
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