On Thursday, the EU Commission presented the Industrial Accelerator Act, which is intended to increase demand for low-emission technologies and products produced in Europe. The aim is to strengthen industrial production in the EU, create jobs and promote the spread of cleaner technologies in industry. This is stated by the European Commission in a press release.
The proposal, if adopted, will introduce, among other things, targeted requirements for Made in EU and low-emission solutions in public procurement and support schemes. The requirements will initially apply to selected strategic sectors such as steel, cement, aluminium, cars and green technologies, but can later be extended to other energy-intensive industries such as the chemical industry.
At the same time, the proposal calls for member states to establish a common digital approval process for industrial projects to make it faster and simpler to obtain permits for new production facilities.
The aim is to increase the share of industry in the EU's total GDP to 20 percent by 2035. In 2024, the manufacturing industry accounted for 14.3 percent. of EU GDP.
The proposal also includes new requirements for major foreign investments of over EUR 100 million in strategic sectors if a single third country controls more than 40% of global production capacity. The investments must, among other things, create jobs in Europe, transfer technology and ensure that at least 50% of employees are European.
- Today we are taking a major step towards renewing Europe's economic doctrine so that the Union is fit for the 21st century, as recommended in the Draghi report. In the face of unprecedented global uncertainty and unfair competition, European industry can count on this law to boost demand and ensure robust supply chains in strategic sectors. It will create jobs by channelling taxpayers' money towards European production, reducing our dependencies and strengthening our economic security and sovereignty, says Stéphane Séjourné, Executive Vice-President for Prosperity and Industrial Strategy at the European Commission.
The proposal will now have to be negotiated between the European Parliament and the EU Council of Ministers before it can be adopted and enter into force.
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