EU unveils ‘buy European’ public procurement rules to counter China

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EU unveils ‘buy European’ public procurement rules to counter China

The Guardian · 1 hour ago

The European Commission has unveiled draft "Buy European" rules that would overhaul EU public procurement to encourage national authorities and public bodies, such as schools and hospitals, to favour European-made goods and services. The move is aimed at countering the growing economic influence of China, particularly in sectors such as transport and infrastructure, where subsidised Chinese firms have been undercutting European rivals. Unlike previous clean-tech proposals, the plan stops short of imposing binding "made in Europe" quotas, but officials hope it will give public buyers greater legal clarity to favour domestic bids over cheaper foreign ones.

Public procurement is estimated to account for around 15% of the EU's GDP, roughly €2.6tn (£2.2tn) a year, and Brussels views it as an underused lever already exploited by the US and China. Under the proposals, public bodies would need to give quality a minimum 30% weighting when awarding contracts (50% for labour-intensive ones), rather than defaulting to the cheapest bid, and would be able to reject bids from countries without reciprocal procurement agreements. The plan follows commission action against Chinese firms including a rolling-stock company barred from a Lisbon metro project and an ongoing probe into security-scanner maker Nuctech, and still needs approval from EU member states and the European parliament.

  • EU proposes rules to steer public spending towards European suppliers
  • No binding quotas, but quality must outweigh price in contracts
  • Aimed at countering subsidised Chinese competition in transport and infrastructure

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