The European Union wants to crack down on foreign companies using subsidies to acquire EU firms, according to a European Commission proposal seen by Reuters. (Reuters)

Talking point: Earlier this week, European Competition Commissioner Margrethe Vestager, who will present the proposal on June 17, said foreign subsidies risk fragmenting the single market or “unlevel the playing field.” That concern has grown during the pandemic, with governments of Spain, Germany, France and Italy each increasing their powers to thwart foreign takeovers of local firms during the crisis. The EU proposal also targets companies operating in the bloc and benefiting from foreign subsidies to grow their market share.