Both ministers emphasised the importance of a sustainable transition that safeguards strategic production while prioritising employment and the enhancement of industrial supply chains.
“Italy and France should collaborate to reposition Europe at the core of global production networks, establishing the necessary conditions for genuine strategic self-sufficiency that bolsters our essential sectors. The automotive and steel sectors are fundamental to the European industrial landscape; however, strategic measures must be implemented to safeguard and revitalise these industries, all while maintaining sustainability and enhancing competitiveness,” Urso says in a ministry note obtained by Kallanish.
The ministers reached a consensus on the critical need for a coordinated strategy to revitalise the European automotive industry, which is presently grappling with significant challenges in production and employment levels. Among the identified priorities is the need to execute initiatives aimed at stimulating internal demand and enhancing the entire component supply chain.
“It is time to recognise not only that Europe is lagging behind, but that the risk of decline and deindustrialisation in the EU is even greater,” states a document from the French, German and Italian industrialist associations MEDEF, BDI, and Confindustria. The associations also met in Paris for the Trilateral Business Forum. They point out that the European economy has experienced a decline and requires a strategic recovery to regain its competitive position.
Since 2010, the expansion of the US economy has reached 37.5%, while the EU has experienced growth of 20.9%. US GDP per capita has shown an increase from $48,374 to $85,373, whereas the EU has seen a rise from $32,966 to $42,443. The US has demonstrated leadership in innovation and the digital economy, particularly in energy, whereas the EU has lagged in these areas. While the US has become less reliant on other nations, the EU still needs to contend with frequently unfair competition from third countries, the associations point out.
They call upon the EU and its member states to undertake a “Catch-up Test”. They explain: “Within one year, systematically compare our key policy results with the US’ in critical economic domains and adjust policies as necessary … In other words: we need new European ways.”
The associations add the priorities are to boost European industry competitiveness, reduce bureaucratic and compliance costs, review all relevant regulations within one year, accelerate investments in innovation and R&D, and facilitate European investments including unlocking €800 billion ($838 billion) identified in the latest Draghi report. “The coming months present a crucial opportunity for Europe to assert its position on the global stage. The actions proposed here … are not simply aspirational … If these priorities are not implemented, European countries risk losing their voice in the future of the global economy,” the document concludes.
Natalia Capra France
