Revised EU Foreign Investment Screening Regulation Takes Effect 2028
Cross-border deal teams and compliance officers must map new EU FDI screening rules before the 2028 effective date, as expanded scope and coordination reshape approval timelines.
The EU's revised Foreign Direct Investment Screening Regulation, set to apply in 2028, broadens the range of transactions subject to review and tightens cooperation among member states. The reform introduces harmonized minimum standards for risk assessment, expands covered sectors to include emerging technologies, critical infrastructure, and sensitive personal data, and mandates earlier notification triggers. National screening authorities gain enhanced information-sharing powers, and the European Commission may issue binding opinions on transactions affecting security or competitiveness across more than one member state. In-house counsel should reassess deal pipelines, update FDI risk matrices, and engage local counsel early in cross-border structuring. Companies with EU operations or targets should prepare for longer pre-signing review windows and document readiness for expanded information requests.