On January 30, 2026, the European Commission launched infringement proceedings against 16 EU Member States that remain parties to the ECT: Belgium, Bulgaria, Czechia, Estonia, Ireland, Greece, Croatia, Cyprus, Latvia, Hungary, Malta, Austria, Romania, Slovakia, Finland, and Sweden. The Commission argues that, following the EU’s coordinated withdrawal from the ECT, foreign direct investment is an exclusive EU competence under the Treaty on the Functioning of the European Union (TFEU), meaning Member States may no longer remain ECT parties without Union authorisation. The targeted states have two months to respond; failure to do so may lead to referral to the Court of Justice of the EU. This assertive step aims to prevent investors from invoking the ECT’s 20-year sunset clause to challenge European climate change measures. It signals a ‘clean break’ strategy from the ECT within the EU, forcing Member States to choose between potential EU legal penalties and the long-term litigation risks of remaining in the treaty. The proceedings could set a landmark precedent on the boundaries of EU exclusive competence over investment policy.