Key facts
- France is leading efforts to exclude the UK from the EU's "Made in Europe" policy.
- The policy aims to protect European companies from "unfair" state-subsidised competition from China.
- France's industry minister stated that "European taxpayers' money should support [European] workers and European factories."
- Germany advocates for a broader "Made with Europe" policy that would include the UK and other allies.
- Sweden supports a balanced solution that includes non-EU European countries essential to the European market.
- Ireland hopes for an agreement on the Industrial Accelerator Act, including "Made in Europe" provisions, by December.
France is leading a push to exclude the UK from the EU's "Made in Europe" policy, a key component of the proposed Industrial Accelerator Act, which could disadvantage British companies in the competition for supplying low-carbon technologies and electric cars within the bloc. The policy aims to protect European firms from what is perceived as "unfair" state-subsidised competition from China.
At a meeting of EU industry ministers, France advocated for a narrow definition of "made in Europe," focusing solely on the EU27. French Industry Minister Sébastien Martin stated, "European taxpayers' money should support [European] workers and European factories." France's Europe Minister Benjamin Haddad added that countries not part of the internal market or contributing to its financial capacity would not receive the same protections.
Germany, however, supports a broader "Made with Europe" approach, which would include the UK and other allies. German Economic Affairs Minister Katherina Reiche argued for including partner countries on the condition of reciprocity, stating, "we must not isolate ourselves from the rest of the world." This position is supported by Nordic countries, with Sweden's outgoing Deputy Prime Minister Ebba Busch expressing a desire for a balanced solution that acknowledges the importance of non-EU European countries to the market.
Ireland, chairing EU ministerial negotiations, is working to find a compromise, with Enterprise Minister Peter Burke acknowledging divergent views on European preference and cooperation with third countries. Poland's Economic Development Minister Michał Baranowski noted that the inclusion of countries like Switzerland, the UK, Japan, Australia, and Canada is still under discussion.
The UK government has expressed concerns about potential exclusion and is engaging with the EU, emphasizing its role as a "close and trusted European partner." British officials anticipate a reset summit with the EU in November, though the timing remains uncertain amidst internal EU budget negotiations.