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EU proposes ‘buy European’ procurement rules to steer spending from China
The European Commission says EU public procurement is about 15% of gross domestic product, roughly €2.6tn a year, and the draft would require at least a 30% quality weighting in contract awards.
The European Commission has published proposals for a broad overhaul of EU public procurement rules aimed at encouraging public authorities to favor goods and services made in Europe as Brussels looks to counter inroads from China into EU markets for transport and infrastructure, including public-sector purchases.
Under the plan, national authorities and public bodies such as schools and hospitals would be urged to buy European-made products and services when spending public money, but without binding “made in Europe” quotas. Brussels said officials are concerned that some agencies interpret existing rules as requiring the cheapest bid, which can result in contracts going to non-European firms.
EU officials estimate procurement accounts for about 15% of the bloc’s gross domestic product, or around €2.6tn per year. The Commission argues the rules would give buyers more legal certainty and clarity, allowing them to take a more preferential approach to European bids and to restrict or reject bids tied to countries that do not have a public procurement agreement or do not follow binding procurement rules internationally.
The proposals would also shift evaluation criteria away from lowest price toward quality and metrics such as environmental sustainability and local supply chains. Specifically, public agencies would be required to assign a minimum 30% weighting to quality when setting conditions for awarding contracts, or explain why they do not.