EU industrial policy – four new initiatives
Europe needs to reverse the declining role of the 21st-century manufacturing industry and to promote sustainable growth, create high-value jobs and solve societal challenges within the industry.
According to the European Commission, the taking of immediate action in this regard should have a positive effect on the downward trend experienced by Europe in recent years. It is estimated that the proposed plan of action will contribute towards increasing the EU’s current Gross Domestic Product from 15.6 per cent to 20 per cent by 2020.
European Commission Vice-President Antonio Tajani is confid-ent that Europe, as a world leader in many strategic sectors such as the automotive, aeronautical, engineering, space, chemical and pharmaceutical sectors, is well placed to assume this role.
Lack of confidence in foreign investors, however, tends to trigger lack of investment in Europe’s industrial sector. Factors linked to market uncertainty, financing problems, lack of demand and skill shortages are among the factors which cause a dearth of confid-ence in investors.
As a result, the European Commission has proposed four initiatives – investing in innovation, improving market conditions, facilitating access to finance and capital, and investing in human capital and skills – aimed at reinforcing industrial policy.
Member states should prioritise their investments in advanced manufacturing technologies for clean production, bio-based product markets, sustainable industrial policy, construction and raw materials, clean vehicles and vessels and smart grids.
The Commission aims to enhance the functioning of the internal market and the opening of international markets through the fostering of entrepreneurship within the digital single market, protecting intellectual property rights and promoting the inter-nationalisation of EU small and mediumenterprises worldwide.
This may be achieved by facilit-ating loans to the real economy through better mobilisation and targeting of public resources, unlocking private finds by elimin-ating barriers for venture capital funds and facilitating cross-border operations by smaller companies.
The Commission aims to equip the workforce for industrial transformations by identifying the skills which are available together with the anticipated skills which will be required within the industry.
This communication aims to tackle the challenges which Europ-ean industry is facing as a result of the current economic crisis. The European Commission has presented several priority actions designed to assist the industry’s recovery in the short and medium terms while ensuring long-term competitiveness and sustainability of the European industry.
For further information visit http://ec.europa.eu/enterprise/index_en.htm
This information was supplied by Impetus Europe Consulting Group Ltd.