The UK's EU Relations Minister, Nick Thomas-Symonds, has voiced concerns about the EU's 'Made in Europe' industrial strategy, which could disrupt supply chains and increase costs for the UK and EU member states. The strategy, aimed at boosting local production and reducing foreign imports, may inadvertently create unnecessary trade barriers and economic strain between the UK and certain EU countries.
Thomas-Symonds' remarks come as the EU prepares to implement legislation prioritizing European-made products in public procurement and consumer schemes. While the EU aims to enhance its competitiveness and productivity, the minister warns that stringent preference requirements could negatively impact deeply integrated supply chains, particularly in key UK-EU industries. This could result in higher costs and hinder economic growth.
The UK, under Keir Starmer's leadership, has been seeking to strengthen diplomatic and economic ties with the EU, its largest trading partner. However, recent signals from Starmer suggest the UK may pursue sectoral deals to deepen access to the single market, potentially causing friction with opposition parties. The EU's 'Buy European' policy, aimed at securing the continent's future amid geopolitical volatility, has faced criticism from member states like Italy and Germany, whose automakers have global manufacturing operations.
The 'Made in Europe' plan, which includes EU member states and the European Economic Area, excludes the UK. However, the EU has indicated that 'trusted partners' could be added in the future. The strategy's success hinges on balancing the need for local production and supply chain resilience with the potential risks of economic disruption and trade barriers.
