France is advocating for the exclusion of the United Kingdom from the European Union’s proposed Made in Europe policy, a move that could affect British companies’ ability to compete in supplying low-carbon technologies and electric vehicles to the European market.
The Made in Europe initiative, currently under negotiation, seeks to shield European companies from what Brussels describes as unfair competition backed by significant state subsidies, particularly from China. The policy includes measures like the Industrial Accelerator Act, which would require public procurement to prioritize European products in key sectors such as renewable energy and electric vehicles.
The debate centers on how to define "Made in Europe" and which countries beyond the EU27 should be included. France is pressing for a strict interpretation limited to EU member states. Speaking at a recent meeting of EU industry ministers in Brussels, French Industry Minister Sébastien Martin emphasized that European taxpayers’ funds should support European workers and factories. He acknowledged the possibility of sector-specific agreements with non-EU countries but underscored that the UK’s decision to leave the EU essentially excludes it from the core European project.
In contrast, Germany and several Nordic countries advocate for a broader "Made with Europe" approach that would encompass the UK and other allied nations such as Canada and Japan. This group favors maintaining open trade relationships and ensuring that partner countries benefit from cooperation on innovative and green technologies.
The internal division within the EU27 over the policy’s scope has implications for EU-UK relations. The contentious nature of the talks coincides with the postponement of the EU-UK summit following the resignation of former British Prime Minister Keir Starmer. British officials anticipate that the summit will be rescheduled in November.
A UK government spokesperson reaffirmed the country’s commitment to security and economic cooperation with the EU, stating that the UK remains a close and trusted European partner. The spokesperson indicated that the UK intends to continue engaging constructively with the EU on the Made in Europe proposals, aiming to foster growth and expand trade opportunities.
The outcome of this debate will influence how subsidies and public investments are directed across Europe’s green industrial sectors and whether the UK will be recognized within the EU framework designed to protect and promote European manufacturing in emerging technologies.
