1. At the request of the competent authority of a Member State, the Commission may, by way of an implementing act, suspend the trading obligation laid down in Article 28 (the ‘derivative trading obligation’) with respect to certain financial counterparties, where appropriate after consulting ESMA. The competent authority shall indicate why it considers that the conditions for a  suspension  are met.  In  particular, the competent authority shall demonstrate that a financial counterparty within its jurisdiction:

(a) regularly acts as a market maker in an OTC derivative subject to the derivative trading obligation and regularly receives requests for a quote for the derivatives subject to the derivative trading obligation from a non-EEA counterparty which has no active membership on an EEA trading venue that offers trading in the OTC derivative subject to the derivative trading obligation; or

(b) regularly acts as a market maker in a credit default swap subject to the derivative trading obligation and:

(i) intends to trade credit default swaps subject to the derivative trading obligation on own account on a  trading  venue  open only to counterparties that are CCP clearing members as defined  in  Article  2,  point   (14),   of   Regulation   (EU) No 648/2012 (‘dealer-to-dealer’ venue);

(ii) intends to trade credit default swaps subject to the derivative trading obligation on own account with a counterparty which is a market maker and which has no active membership on an EEA dealer-to-dealer venue that offers trading in the OTC derivatives subject to the derivative trading obligation; and

(iii) clears those credit default swaps in a CCP authorised or recognised pursuant to Regulation (EU) No 648/2012.

The implementing act referred to in the first subparagraph of this paragraph shall be adopted in accordance with the  examination procedure referred to in Article 51.

2. When assessing whether to suspend the derivative trading obli­ gation pursuant to paragraph 1,  the  Commission  shall  consider whether to suspend it for specific markets, and shall take into account whether such suspension of the derivative trading obligation would have a distortive effect on the clearing obligation under  Title  II  of Regulation (EU) No 648/2012.

The Commission shall also contact other competent authorities of other Member States to assess whether financial counterparties in Member States other than that making the request pursuant to paragraph 1 (the ‘requesting Member State’) are in a situation similar to that in the requesting Member State.

The competent authority of a Member State other than the requesting Member State may, after adoption of the implementing act referred to in paragraph 1, request that financial counterparties that are in a situation similar to that in the requesting Member State be added to the imple­ menting act. The competent authority of the Member State making that request shall demonstrate why it considers that the conditions for a suspension are met.

3. Where the derivative trading obligation is suspended pursuant to paragraph 1 or 2 with respect to a financial counterparty, the derivative trading obligation shall not apply with respect to its counterparty, as referred to in paragraph 1, point (a), or paragraph 1, point (b)(ii).

4. The implementing act referred to in paragraph 1 shall be accom­ panied by the evidence presented by the competent authority requesting the suspension.

5. The implementing act referred to in paragraph 1 shall be communicated to ESMA and  shall  be  published  in  the  register referred to in Article 34.

6. The Commission shall regularly review whether the grounds for the suspension  of the derivative trading obligation continue to apply.