Economic and Legal Commission (ECO)

WHO'S IS WHO

TOPICS

Brief description and main aims

In December 2022, the European Commission’s proposal for a Regulation on Distortive Foreign Subsidies in the EU Single Market aimed at tackling the distortive effects of foreign subsidies in the EU Single Market was adopted. This was the first EU instrument to control subsidies granted by third countries. The regulation entered into force on 12 July 2023.

Under the Regulation, the Commission has the power to investigate financial contributions granted by public authorities of a non-EU country which benefit companies engaging in an economic activity in the EU and redress their distortive effects, as relevant. The instrument has two notification-based tools, including one to investigate bids in public procurements involving a financial contribution by a non-EU government, and a general market investigation tool.

Before that, in June 2022, the EU International Procurement Instrument (IPI) was adopted. The instrument was aimed at securing reciprocal access to third-country markets for EU countries.

Why FIEC is dealing with this topic

Over the past decade, an increasing number of EU public infrastructure contracts have been awarded to third-country State-Owned Enterprises, particularly from China, whose very low bids distort competition and disadvantage European companies. While the EU has largely opened its procurement markets, reciprocity remains limited, and recent geopolitical tensions have reinforced the need to preserve industrial know-how and strategic autonomy.

FIEC addresses these concerns in cooperation with EIC and EuDA (European Dredging Association), and recently co-signed a join letter to Commissioner Séjourné, calling for certain construction activities to be recognised as strategic. In parallel, the European Commission has launched a Call for Evidence to develop the Foreign Subsidies Regulation (FSR) Guidelines, a process FIEC is closely following to ensure the construction sector is adequately protected.

Actions and key dates
25/05/2021

Launch of FIEC’s SOEs interactive map Third country State-Owned Enterprises in the European procurement market.

30/06/2022

The EU International Procurement Instrument (IPI) was adopted.

23/12/2022

The Foreign Subsidies Regulation (FSR) was adopted by the European Parliament and the Council. It entered into force on 12 July 2023.

10/07/2023

The European Commission adopts rules laying down more detailed practical and procedural aspects related to applying the FSR.

14/07/2023

FIEC, EIC and EuDA call for a market investigation in the construction sector (including dredging) by the European Commission under the FSR (Article 36).

15/02/2024

FIEC, EIC and EuDA finalise a joint letter highlighting their priorities for the next legislature, including a Trade Defence Instrument (TDI) for construction services.

23/01/2025

FIEC, EIC and EuDA send a joint letter to Commissioner Séjourné, calling for certain construction activities to be recognised as strategic.

19/03/2025

FIEC, together with EIC and the Croatian member federation HUP, host a conference on “Third country bids in Public Procurement” in Zagreb .

02/04/2025

FIEC contributes to the European Commission’s Call for Evidence on the FSR Guidelines.

14/04/2025

Following their joint letter, FIEC, EIC, UNIFE and EuDA meet the European Commission concerning European Preference in Public Procurement.

12/08/2025

The European Commission launches the FSR review “Call for Evidence” and opens a parallel 14-week Public Consultation (Have Your Say).

 

Brief description and main aims:

The current legislative framework on public procurement consists of three EU directives adopted in 2014 (2014/23/EU on concessions, 2014/24/EU on “classic” procurement and 2014/25/EU on “utilities” procurement). These rules are aimed at ensuring that public procurement procedures are transparent and fair.

Nevertheless, in its Special Report 28/2023, the European Court of Auditors found that competition in EU public procurement declined between 2011 and 2021, and that the 2014 reform objectives—notably simplifying and shortening procedures—have not been fully achieved. It recommends clearer priorities, better data collection and monitoring, and an action plan to address barriers to competition.

In response, the European Commission launched a public consultation and Call for Evidence in December 2024 to evaluate the 2014 procurement directives, with a view to a possible revision in 2026. In September 2025, the European Parliament adopted its own-initiative report on public procurement (2024/2103(INI)), setting priorities for the upcoming reform — including a shift from “lowest price” towards value-based awarding and simplification and better access for SMEs.

Why FIEC is dealing with this topic:

FIEC is involved in the topic of public procurement because it represents a major source of activity for the construction sector in Europe. A significant share of construction work—particularly in infrastructure, housing, and public projects—is financed by public funds. It is therefore essential that companies in the sector have fair and competitive access to public procurement opportunities.

The current EU framework poses several challenges: excessive complexity, increasing use of direct awards or in-house procurement, unequal access across Member States, and downward pressure on prices at the expense of quality. These issues directly affect the ability of companies to participate effectively in public tenders.

As the federation representing the interests of construction companies at European level, FIEC’s role is to ensure that the rules are adapted to the specificities of the sector, promote fair competition, support innovation, and allow for the effective integration of environmental and social objectives while remaining realistic and proportionate.

 

Actions and key dates
04/12/2023

The European Court of Auditors publishes its Special Report 28/2023.

05/12/2024

Publication of FIEC’s Position Paper on the current EU public procurement framework.

07/03/2025

FIEC submits its official contribution to the European Commission’s evaluation of the 2014 Public Procurement Directives (2014/24/EU and 2014/25/EU).

18/03/2025

The European Parliament’s IMCO Committee publishes its Draft Report on public procurement (Rapporteur: Piotr Müller).

08/04/2025

FIEC sends its comments and proposed amendments to the draft report.

09/09/2025

The European Parliament adopts its Own-Initiative Report on Public Procurement, outlining Parliament’s priorities for the future revision of the EU procurement directives.

 

Brief description and main aims:

The European Union faces three major strategic challenges regarding infrastructure. First, it must complete, modernise, and maintain its transport network to ensure smooth and coherent connectivity across regions, with a particular focus on the Trans-European Transport Network (TEN-T). Second, in a context of heightened geopolitical tensions, infrastructure must be adapted for dual civilian and military use to strengthen military mobility. Finally, the green transition requires making infrastructure sustainable by redirecting investments toward low-carbon transport modes, improving energy efficiency, and aligning with the climate goals of the European Green Deal.

The Trans-European Transport Network (TEN-T) Regulation is a core instrument at EU level for influencing Member States’ infrastructure policies. Recognising the necessity of modernising the EU’s transport system, the European Commission adopted new transport proposals in December 2021, among which the revision of the guidelines for the trans-European transport network.

The TEN-T revision aims at addressing the missing links in the TEN-T network and upgrading it. The revised rules were adopted in April 2024 and introduce obligations on Member States with respect to maintenance.

Why FIEC is dealing with this topic:

As essential connecting points in Europe’s transport network, the malfunction of bridges attracts particular attention. For this reason, FIEC has set up the ECO WG “Structural Maintenance”, focusing on the lack of maintenance of bridges and promoting initiatives to address this issue. The WG now extends its scope to the maintenance of infrastructure in general. Thanks to FIEC’s intense lobbying over recent years, the revised TEN-T rules strengthen the approach regarding the quality of infrastructure and its maintenance, including the structural stability of critical assets such as bridges and tunnels.

New challenges have now been added—defence and military mobility. The White Paper on European Defence – Readiness 2030 identifies military mobility as a critical gap requiring urgent investment.

The Connecting Europe Facility (CEF) is the main EU funding instrument for delivering the goals of the TEN-T Regulation. This WG is actively engaging with the ongoing public consultation on the CEF evaluation. We aim to highlight the need for stronger support for structural maintenance, the adaptation of infrastructure for military use — including the creation of corridors to facilitate military transport from the Western to the Eastern front — and the reinforcement of the CEF’s role in funding sustainable, low-carbon projects.

Actions and key dates
14/12/2021

The European Commission publishes its proposal for the revision of the TEN-T Regulation (FIEC Position Paper).

20/04/2022

FIEC sets up a new Working Group on “Structural Maintenance”.

18/10/2023

Kick-off meeting of the European Commission’s DG MOVE working group on decarbonising transport infrastructure. FIEC is represented by its President, Philip Crampton.

05/03/2024

FIEC participates in the Intergroup event “Infrastructure Maintenance and the Decarbonisation challenge” held at the European Parliament.

24/04/2024

The revised TEN-T guidelines are approved.

11/04/2025

4th edition of the Eurobridge Conference, Brussels.

28/04/2025

FIEC publishes “Priorities and Recommendations in Support of the TEN-T Vision”.

16/07/2025

European Commission publishes its MFF 2028–2034 proposal; CEF Transport set at €51.5 bn (incl. €17 bn for Military Mobility).

 

Brief description and main aims:

The MFF 2028–2034 sets the EU’s seven-year spending ceilings and priorities. The Commission proposes ~€2 trillion (≈ 1.26% of EU GNI) with a streamlined architecture, fewer programmes, and stronger alignment between EU and national priorities via Partnership Plans. Key features for construction: a reinforced Connecting Europe Facility (CEF) of €81.4 bn (incl. €51.5 bn for transport, with ~€17 bn for Military Mobility) and a new European Competitiveness Fund (ECF) (~€409 bn) boosting innovation, industrial decarbonisation and skills. The proposal also envisages new own resources (ETS/CBAM share, e-waste, tobacco excise, “CORE”, adjustments to existing resources) to stabilise revenues and reduce pressure on national budgets.

Structural changes (4 main headings; consolidation of programmes) aim to increaseflexibility while maintaining support for cohesion, agriculture and external action; however, this raises governance and transparency questions highlighted in parliamentary analyses.

 

Why FIEC is dealing with this topic:

The next MFF is expected to put a strong emphasis on competitiveness, R&D andinnovation, alongside continued investment in infrastructure (transport, water, housing) and skills — with a direct impact on construction companies, their supply chains and SMEs. This shift matters greatly for the construction sector: EU support for research, innovation and industrial competitiveness will shape the pace of industrial decarbonisation, the deployment of clean technologies and materials, the digitalisation of construction processes, and the upskilling of the workforce.

FIEC welcomes the renewed focus on competitiveness, innovation and transport connectivity, particularly the doubling of the Connecting Europe Facility and the creation of a European Competitiveness Fund. However, the Federation cautions against the risks of re-nationalisation, reduced cohesion funding, and underinvestment in water, housing and environmental infrastructure. FIEC calls for stronger safeguards to maintain EU-level ambition in these areas, increased support for industrial decarbonisation, energy renovation, and construction innovation, and a clear recognition of water resilience as a strategic investment priority.

Actions and key dates
16/07/2025

European Commission proposal for a CEF 2028–2034 Regulation.

29/10/2025

FIEC is currently drafting a Position Paper on the role of infrastructure in the 2028–2034 MFF.