What counts as ‘Made in Europe’? France, Germany and Spain are divided

France, Germany, and Spain are divided on the definition of "Made in Europe" as the EU drafts new rules to benefit European industry amid rising competition from China. The European Commission's proposed Industrial Accelerator Act would give European-made products like cars, steel, and green technologies preferential treatment in public contracts. However, EU governments disagree over the boundaries of Europe itself.

France advocates for a strict EU preference, while Germany seeks a more open model that includes trading partners. Spain proposes a compromise between the two. France is pushing for a strict EU approach, while Germany wants to extend rules of origin to the bloc's trading partners, contingent upon those countries granting European companies equivalent access. This could include WTO member states and those with free trade agreements or customs unions with the EU.

German Minister for Economic Affairs Katherina Reiche said the Industrial Accelerator Act must follow the principle of "made with Europe," potentially including Norway, Switzerland, and "partner countries" like Canada, which the Commission President has offered special partnership terms. Spain has offered a compromise position, establishing a core of the EU's 27 members, an EEA group including Norway, trusted partners with reciprocal access, and a third group with free trade agreements or customs unions with the EU.

This third group could also include countries supplying critical components for EU economic security.

Italy has not yet taken a clear stance, with Minister for Enterprises Adolfo Urso favoring an inclusive and balanced approach that includes strategic partners. Ireland, holding the rotating EU Council presidency until the end of the year, aims to broker a compromise among the 27 member states by December.