The EC spoke about the situation with foreign state subsidies in the European Union

The bill of the European Commission (EC) on the control over the provision of foreign government subsidies to companies in the EU may not appear until 2021, said Executive Vice-President of the EC, Margrethe Vestager at a press conference.

The EC before the September 23, going to consult with stakeholders on its proposals to regulate state subsidies to third countries in the EU that could disrupt competition in the Union. "We hope to get a wide range of opinions and suggestions. If these consultations show that new rules are needed, we intend to submit our proposal in 2021," she said.

The EU wants to remain open to foreign direct investment, said Vestager. "What we're trying to do is to say that we are in control of state support in Europe," she explained.

EU rules on competition, trade remedies and public procurement rules play an important role in ensuring fair conditions for companies in the single market of the EU, the report says the EC. Subsidies from the member States of the EU are governed by the rules of providing state aid a Union to avoid distortions in the market. Subsidies for companies in the European Union, by governments of countries outside the EU, appears to be having an increasingly negative impact on competition in the single market, but do not fall under the control of the EU, said the EC.

A growing number of cases where foreign grants, apparently, contributed to the acquisition of companies in the EU or distorted investment decisions, market transactions, or pricing their beneficiaries or distorted bidding in public procurement to the detriment of unsubsidized companies, said the EC.

The European Commission on Wednesday presented a White paper, which proposes some solutions to these problems. It and the EC will collect the views of stakeholders by 23 September. In the release the Commission pointed out that, in the light of comments received, the EC will submit its legislative proposals to eliminate the distorting effects of foreign subsidies in the unified EU market.