Europe is being urged to adopt a “Made in Europe” strategy to safeguard its industries, according to EU industry chief Stephane Sejourne. This call comes from Sejourne and over 1,100 business leaders as a response to cheaper imports from China. The European Commission plans to propose an Industrial Accelerator Act that will prioritize locally made products, but this initiative is causing division among EU countries.
Sejourne emphasized the need for a strong industrial policy to ensure the European economy isn’t overshadowed by competitors. He insists on the necessity of establishing a genuine preference for European products in critical sectors. Notably, the article features support from CEOs across various industries, including steel, pharmaceuticals, and utilities. However, car manufacturers were not included, as their complex supply chains raise concerns about the strict definition of “Made in Europe. “
Companies like Ford and Bosch have expressed the need for open supply chains and addressed issues regarding fairness in competition. While some nations, such as France, promote “Made in Europe” regulations, others, including Sweden and the Czech Republic, argue that these requirements could hinder investment, increase costs, and damage global competitiveness.
Sejourne pointed out that major economies have their own production preference strategies, highlighting the importance of supporting European production and quality jobs. However, concerns remain that local content regulations may lead to inflation and limit market growth, leading executives like Mercedes-Benz’s CEO cautioning against overly rigorous local content requirements.
With information from Reuters
