The European Commission (EU) is amending its competition, subsidies and trade rules in order to facilitate the EU’s 2050 climate neutrality objectives. The changes are anticipated in 2022 and will present businesses with new opportunities for cooperation on projects geared towards sustainability and carbon-neutrality – but may also have the effect of increasing EU's trade protection against Asian imports.

Shearman & Sterling held a briefing session on February 24 where Global Antitrust Practice Group Leader and Head of the London and Brussels Offices Matthew Readings, Antitrust partners Elvira Aliende Rodriguez and James Webber and M&A partner Li Chen presented and provided their insights on the following key topics:

• Overview of the EU’s new sustainability framework
• Impact of new guidance on cooperation between competitors
• Trade protection measures via foreign subsidy controls and carbon tariffs
• Increased control over investment opportunities into Europe