In May 2021, the European Commission released an updated new industrial strategy titled ‘Building a stronger single market for Europe’s recovery.’ It incorporates lessons from the COVID-19 crisis and outlines actions to enhance the EU’s industrial resilience and competitiveness.

Key highlights:

• Strengthening the single market: emphasises the single market’s role in economic recovery, calling for the removal of barriers, better enforcement of rules, and increased resilience to future crises.
• Addressing strategic dependencies: identifies vulnerabilities in raw materials, pharmaceuticals, and digital technologies, proposing measures like diversifying supply chains, boosting domestic production, and investing in alternative technologies.
• Accelerating the green and digital transition: highlights the importance of reducing carbon emissions, adopting sustainable practices, and integrating digital technologies to maintain Europe’s competitiveness.
• Supporting SMEs: focuses on improving SMEs’ access to finance, facilitating their green and digital transitions, and enhancing their resilience to economic shocks.
• Enhancing open strategic autonomy: balances openness to trade with protecting against unfair practices, strengthening trade defence instruments and ensuring a level playing field.

This strategy aims to build a robust, sustainable, and competitive European economy, addressing pandemic challenges and preparing for future risks and opportunities.