Foreign investment monitor
Welcome to our seventh Foreign investment monitor
In this edition, we delve into changing FDI regimes across multiple continents.
Amid ongoing global instability, FDI regulatory regimes continue to change, taking account of post-COVID changes to economies and the developing global political situation, focusing on different types of investors and target sectors.
A recent U.S. Executive Order, when implemented, will impose notification requirements on, and in some cases entirely prohibit, U.S. investments in Chinese companies in sensitive technologies, particularly in the semiconductor and quantum/supercomputing sectors. However, it may not bring about the sweeping “reverse CFIUS” that some policymakers have sought and many in industry have feared.
Canada’s stable economy, natural resources and predictable legal framework make for a desirable destination for foreign investors. However, foreign investments are subject to stringent regulatory oversight, as contributors from our StrongerTogether network explain.
Almost exactly three years after the European Commission’s EU Foreign Direct Investment Screening Regulation entered into force, the Commission has published its Third Annual Report, finding more FDI regimes, fewer cases, and more Phase II proceedings and prohibitions.
Governments in Europe are opting for stricter investment review policies, looking to protect national interests. Belgium and the Netherlands recently introduced a general FDI regime, while Spain has made a number of changes to its existing FDI regime. These developments have potentially significant implications, as we explain with contributions from the authors of the latest Foreign Investment Regulation Review.
In the APAC region, more developed economies have been tightening scrutiny of foreign investments on national security grounds, while economies that are developing have been relaxing restrictions to accelerate economic growth. As our graphic shows, the result is a very broad and sometimes eclectic range of rules, informed by local economic, political and regulatory considerations.
We hope these insights will help provide the knowledge necessary to navigate this complex landscape. But if you would like to discuss any FDI issue in more detail, we would be delighted to arrange a meeting. And let us know if there’s something you'd like to see us cover in the next monitor.
See our articles below
Please get in touch with us or your usual Freshfields contact if you would like to discuss these or any other regulatory issues in more detail.
Alastair Mordaunt Partner
London, Hong Kong
Aimen Mir Partner | Foreign Investment and National Security | Head of CFIUS Practice
Dr. Frank Röhling Partner
Rafique Bachour Managing partner
Ignacio Borrego Of Counsel
Colin Costello CFIUS and National Security Advisor
Pascal Cuche Public Law
Dr. Stephan Denk Partner
Ninette Dodoo Partner
Dr. Maria Dreher-Lorjé Partner
Dr. Juliane Hilf Partner
Álvaro Iza Partner
Sarah Jensen Counsel
Winfred Knibbeler Partner
Christine Laciak Special Counsel
Dr. Jérôme Philippe Partner
Alex Potter Partner
Dr. Uwe Salaschek Counsel
Ermelinda Spinelli Partner
Paul van den Berg Partner
Dr. Andreas von Bonin Partner
Kaori Yamada Partner