The Netherlands Tightens Security with New Tech Investment Screening Law

The Dutch government plans to expand its investment screening law to include technologies like biotech and AI, aiming to protect national security amidst increasing hybrid threats. This move intends to safeguard Dutch innovations, adopting technologies such as nanotechnology and nuclear for medical use by 2025.

The Dutch government announced plans to strengthen its investment screening laws by incorporating advanced technologies such as biotechnology and artificial intelligence. This strategic move aims to prevent potential takeovers that might compromise national security.

Economy Minister Dirk Beljaarts emphasized the growing threats, stating, "The international security situation has deteriorated rapidly in recent years." The updated laws aim to protect Dutch entrepreneurs and secure the future of the Dutch economy by including new technologies like nanotechnology, sensor, navigation technologies, and nuclear technologies for medical purposes.

Scheduled for implementation in late 2025, the new rules follow the country's recent export restrictions of semiconductor technology to China. Under the revised legislation, any plans to acquire key Dutch assets will be scrutinized by the Investment Review Office, which could delay transactions by six months to ensure national security risks are adequately assessed.

(With inputs from agencies.)