A selection of experts answer a new question from Judy Dempsey on the foreign and security policy challenges shaping Europe’s role in the world. Please find below the answer of Marietje Schaake to the question:
"Should Europe Protect Its Strategic Sectors?"
Yes, but only when there are legitimate reasons, not as thinly veiled protectionism. The EU is—and should remain—an attractive destination for foreign investments. But openness should not make us naïve. Key enabling technology companies are often strategic, therefore we must assess an investor’s motives and sources of resources. Member states have the freedom to reject FDI for national security reasons already, and EU-wide harmonizing criteria makes sense for the single market
The EU should continue to pursue its efforts at bilateral and multilateral levels to ensure that third countries offer a level of openness toward foreign investments equivalent to that of the EU. We are open for business, but not at every cost.