This Chapter addresses the balancing test under the Foreign Subsidies Regulation. In this test the European Commission may balance the negative effects of a foreign subsidy in terms of distortion in the internal market against positive effects. This balancing may either lead to a ‘no objection decision’ or influence the Commission’s decision on redressive measures or commitments. So far, in the Commission’s practice the concept of balancing seems not to have played more than a minor role. However, it is expected to become one central focus in arguments to be brought forward by the parties and to be dealt with by the Commission in its decisions. In the following the balancing test will be first put in its over-all context in the Foreign Subsidies Regulation. Thereafter light is shed on the very assessment the Commission will need to conduct in this test. Further the possibilities of stakeholders to bring input as to positive effects of a subsidy and the question of whether the Commission may have a duty to investigate for positive effects ex office is debated. In addition, the scope of the Commission’s balancing is discussed.