The Extraterritorial Dimension of EU State Aid Control

Abstract

This chapter discusses the influence of EU State aid law outside the borders of the Union. It addresses, first, the phenomenon of substantive and institutional convergence with other subsidy control regimes. It appears, in this sense, that the features of the EU model find their way into the trade agreements concluded with third countries (and the domestic legislation of the latter). The chapter considers, second, the unilateral expansion of the EU model. The Foreign Subsidies Regulation is an example of this phenomenon, which seeks to remedy the limitations of the WTO system.

Keywords: State aid, subsidy control, trade agreement, Subsidy Control Act 2022, EU Foreign Subsidies Regulation

JEL Classification: F12, F12, H23, H 25, H71, L53