According to an article in KATHIMERINI, Greece has created the best impression internationally for the way it has managed to emerge from the crisis and start to develop as an investment-friendly destination. However, as in Europe, more investment in industry is needed in Greece and important decisions need to be taken to achieve this. The Vision for a new industrial competitiveness includes reducing the regulatory burden on our businesses and finding long-term solutions to address the energy cost differential with our competitors.
Industry’s contribution to society is huge and essential to our daily lives and to wealth creation in Europe, but it is also much more important to the economy than it is often given credit for, contributing to economic growth, employment and innovation. There is no strong Europe without strong industry. The geopolitical and economic landscape is very challenging, putting many sectors of industry under severe pressure.
The EU must reduce the cost of energy and the burden of regulation. European industries are starting to lose share in the global economy. The reason lies in the high cost of energy and the heavy regulatory regime. What we need in Europe is a more investment-friendly regulatory environment. The investment environment in Europe is not as favourable as it was three years ago, and even less so now compared to our global competitors. Although energy prices are not at their highest levels, they remain higher than those of most of our competitors. The green transition is perhaps the biggest challenge. Europe has clearly positioned itself in the “vanguard”.
The global industrial map shows that fast-growing economies such as China and India are becoming increasingly important. The United States is managing to maintain and strengthen its position in this new environment.
The economic data is not favourable for Europe compared to other countries and regions. The US is becoming an increasingly attractive investment destination for industry, while Europe is struggling. Even if wholesale gas prices were more stable in Europe, they would still be 5 to 6 times higher than they are today.
Protectionism is on the rise globally, with many countries adopting discriminatory or trade-distorting policies, but Europe must not go down this path. Europe’s international influence comes from its trade and investment power. Europe is the world’s largest exporter of manufactured goods and services and the largest export market for around 80 countries. In the EU, 38 million jobs are directly linked to exports.
At the same time, Europe must effectively defend its economic interests in the face of rising geopolitical competition and unilateral measures by some of our trading partners that violate international commitments. We support rules-based trade, not power-based trade. If trading partners unilaterally impose increased tariffs, impose restrictions on access to their markets or introduce distortive subsidies that benefit domestic industries, the EU must be able to act and use existing tools to protect its economic interests.