**The EU Will Grant Greater Preference to European Companies in Public Procurement**

The European Commission has presented new public procurement rules aimed at simplifying tenders and reducing dependence on foreign companies. The changes also provide for the creation of a single digital platform across the EU.

The EU spends approximately €2.5 trillion per year on public procurement, which accounts for roughly 15% of the EU economy. Under the new rules, the lowest price will no longer be the sole deciding factor in awarding public contracts. Quality will be given a weight of at least 30% in evaluations, and at least 50% in sectors where a large share of the work depends on human labor.

The changes will allow EU countries, in certain cases, to exclude from tenders bids in which the share of European-made production is less than 50%. The regulation specifically targets competition from cheap products coming from China, as well as sectors where the EU is seeking to reduce its dependence on foreign companies.

The proposal has not yet been finally approved and must go through the relevant procedures before it takes effect.

Source: Reuters