Germany: Act implementing EU Regulation on Artificial Intelligence (Draft Act 21/4594) was introduced to Parliament

On 9 March 2026, the German Federal Government submitted the draft Act to implement the Artificial Intelligence Regulation (No. 21/4594) to the Parliament (German Bundestag). The Act would apply to providers, deployers, importers and distributors of artificial intelligence systems as defined in Regulation (EU) 2024/1689, as well as authorised representatives of non-EU providers and product manufacturers who place artificial intelligence systems on the market under their own name or trademark. The Act would designate the Federal Network Agency as the primary market surveillance and notification authority for AI systems not covered by other designated bodies. The Federal Financial Supervisory Authority would be designated as the competent market surveillance authority for AI systems used in connection with regulated financial activities, while the competent authorities of the federal states would remain responsible for systems deployed by public bodies and media service providers. The Act would further establish an independent Artificial Intelligence Market Surveillance Chamber within the Federal Network Agency for certain high-risk AI systems used in law enforcement, border management and the justice system. It would also establish a coordination and competence centre within the Federal Network Agency to support cooperation between the relevant bodies and act as the central contact point under Regulation (EU) 2024/1689. The Act would require the Federal Network Agency to operate at least one artificial intelligence regulatory sandbox, as well as acting as a central complaints office for violations of Regulation (EU) 2024/1689. It allow for administrative fines of up to EUR 50'000 for infringements not covered by Regulation (EU) 2024/1689.