On 15 July 2022, the Council of the EU published a letter to the Chair of the European Parliament Committee including the final compromise text of a proposal for a regulation to address distortions in the internal (EU) market caused by foreign subsidies, which was endorsed in a Permanent Representatives Committee meeting on 13 July 2022. First proposed by the European Commission in May 2021, the regulation is meant to close the regulatory gap in the Single Market, whereby subsidies granted by non-EU governments currently go largely unchecked, while subsidies granted by Member States are subject to close scrutiny. The regulation aims to remedy the distortions created by subsidies granted by non-EU countries to companies operating in the EU's single market. It establishes a comprehensive framework for the Commission to examine any economic activity benefiting from a subsidy granted by a non-EU country on the internal market. In doing so, the regulation aims to restore fair competition between all undertakings — both European and non-European — operating in the internal market.