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France says EU’s ‘Made in Europe’ law should not include the UK

‘If you’re not in the internal market, you don’t get the same protection,’ says French minister of policy designed to curb Chinese competition France is leading a push to exclude the UK from the EU’s “Made in Europe” policy that could result in British companies losing out in the race to supply European countries with low-carbon technologies and electric cars. The plans were raised by Andy…

France says EU’s ‘Made in Europe’ law should not include the UK

France's minister of policy to combat Chinese competition has advocated against including the UK in the EU’s “Made in Europe” law. This proposed legislation aims to safeguard European firms from aggressive state-subsidised competition from China. The contentious issue centers on defining what qualifies as "made in Europe" and whether to extend the policy to non-EU countries like the UK, Canada, and Japan.

During a meeting with the European Commission president, Andy Burnham, France emphasized that European taxpayers' funds should bolster European workers and factories. Sébastien Martin, the French industry minister, asserted, "The United Kingdom made a choice a few years ago to leave the European Union. That doesn’t mean we don’t discuss things or that we don’t trade, it doesn't mean there can't be agreements in certain sectors, but fundamentally there are those who have chosen the European project and those who have decided to leave."

Meanwhile, Benjamin Haddad, France's Europe minister, speaking from London, offered limited assurances to Burnham's team. Haddad stated, "At the end of the day, if you are not part of the internal market and if you are not contributing to the financial capacity of the internal market, you don’t get the same kind of protection."

Germany's economic affairs minister, Katherina Reiche, favors a broader “Made with Europe” approach that encompasses the UK and other allies. She argued, "We must reduce unilateral and critical dependencies, but we must not isolate ourselves from the rest of the world. This means that partner countries must be included in the union-origin principle, in general and on the condition of reciprocity."

Sweden’s outgoing deputy prime minister, Ebba Busch, who leads on business policy, underscored the importance of maintaining British involvement, stating, "We always miss the Brits." She called for a balanced solution, acknowledging the indispensable role of non-EU countries in a functional European market.

The EU’s internal debate on the “Made in Europe” policy heightens concerns about the upcoming EU-UK reset summit, which has been postponed due to Keir Starmer's resignation. British officials anticipate the summit to occur in November, although an earlier date has been ruled out. EU insiders believe that a Made in Europe agreement is a top priority for the UK, but they caution that it cannot be achieved before the union finalizes its stance.

Ireland, currently chairing EU ministerial negotiations, hopes to secure an agreement on the Industrial Accelerator Act, including the Made in Europe provisions, between the EU Council and the European Parliament by December. However, Ireland’s enterprise minister, Peter Burke, acknowledged divergent views on the Industrial Accelerator Act, European preference, and collaboration with trusted partners and third countries.

Poland’s economic development minister, Michał Baranowski, noted that it is premature to determine the participation of countries such as Switzerland, the UK, Japan, Australia, and Canada. He stressed that these nations are part of the ongoing discussion. The UK government maintained its commitment to the EU, emphasizing that it remains a close and trusted partner, eager to collaborate on “Made in Europe” to foster growth and enhance trade.

Written by urgent.news from Guardian Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.

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