The EU Industrial Accelerator Act should be used to strengthen Europe’s industrial base

Today, BusinessEurope has published its position on the Industrial Accelerator Act (IAA), in which it stresses that while IAA’s overall objective makes sense, the proposal includes far-reaching measures – several of which raise potential challenges.

BusinessEurope Director General Markus J. Beyrer said:

"Overall, we welcome measures on accelerating permitting procedures in Europe, but we would like to see even more ambition on certain points such as addressing the fragmentation across many sectoral legislations. The use of lead markets to stimulate demand for low-carbon technologies is also positive, but the risk of making public procurement more cumbersome is real and must be addressed.

When it comes to European preference, we need to use it in a targeted and cautious manner, taking into consideration key trading partners. It is also crucial that there is reciprocity when opening up public procurement markets. Similarly, while we agree with the premise of ensuring that FDI creates added value in the EU, the relevant IAA provisions risk developing a second, parallel system for FDI screening in the EU.

Turning inward will not serve Europe’s interests in a world of steep competition and geopolitical challenges. Building greater resilience and protecting our interests go hand in hand with openness, at a time when we need investments most.”