The speakers at the Industry Days argue that the EU must take advantage of its structural advantages (single market, trade network, rule of law) to improve industrial competitiveness.
It calls for simplification of regulations, reduction of regulatory costs and commitment to talent and digital innovation.
Security and the defense industry emerge as strategic pillars for a sustainable and geopolitically sound reindustrialization.
EU Industry Days 2025 was held in Poland in the framework of the Polish Presidency of the Council of the EU, and was the venue to bring together senior EU officials, industry professionals and experts to discuss the European industrial strategy. The key themes were competitiveness, digitalization and defense. Emphasis was placed on building a policy toolkit to enable European industry to invest, innovate and compete globally. The aim was to define how to leverage the EU’s core strengths (single market, stable legal framework, etc.) while at the same time removing barriers that hinder industrial competitiveness.
Competitive advantages of the EU
The speakers recalled that the EU is the world’s second largest economy. With more than 160 million consumers, it has the largest network of trade agreements: more than 40 treaties with more than 70 countries or regions. Other structural factors that reinforce the EU’s competitiveness are the trade-oriented economy (with a long coastline and its regional integration) and a rule of law system that offers predictability to investors. As Commissioner Kerstin Jorna emphasized, these fundamentals are the basis for thriving in a highly competitive global environment.
However, all agreed that structural advantages are not enough; the business environment must be improved. The Executive Director of the ACEA employers’ association stressed that reducing regulatory and bureaucratic costs is essential for European industry to remain attractive. This translates into policies such as the Industrial Decarbonization Acceleration Act, the revision of regulation for SMEs and midcaps and the simplification of the single market.
In addition, raw material shortages and high energy prices in the EU were identified as urgent weaknesses to be addressed. For example, recent reports show that industrial energy prices in Europe may double or triple compared to the US or China. All agreed in calling for political pragmatism, adapting regulations to avoid weakening industry.
Innovation, digitalization and talent
The event highlighted the urgency of accelerating digital transformation and addressing the growing talent shortage, two challenges converging at a key moment for Europe. The EU is facing a combination of unprecedented demographic and technological pressures. By 2030, it is estimated that there will be 300 million more people over 65 compared to 2014, which will strain social systems and significantly increase demand for services. In parallel, automation and artificial intelligence will radically transform the labor market: between 75 and 375 million workers worldwide will need to acquire new skills to adapt to this reality. In this context, Europe must act with determination if it wants to maintain a strong and competitive industrial base.
Several speakers emphasized the role of advanced robotics and artificial intelligence as a solution to labor shortages and falling productivity. As Neura Robotics CEO David Reger explained, robotics is “reviving” the manufacturing industry in terms of efficiency. He assures that countries such as China are already betting heavily on the incorporation of humanoid robots in their factories, with very ambitious goals: by 2030, they expect these to represent at least 5% of their workforce. Europe needs to set clear objectives and act in a coordinated way (through public-private investment and strategic agreements) if it wants to lead this emerging sector.
To achieve all this, it is essential to train and retrain talent. The president of ACEA stressed the urgency of upskilling and reskilling the workforce, so that European workers can take on advanced R&D and digital tasks. The speakers agreed that it is not enough to attract companies, it is also necessary to ensure that there is skilled human capital, which implies strengthening STEM education with an entrepreneurial spirit (for example, by integrating entrepreneurial training in all types of university degrees).
Green transition and clean industries
The fight against climate change was a cross-cutting issue in all the sessions. Participants insisted on accelerating industrial decarbonization without sacrificing competitiveness. The EU has set its sights on climate neutrality, but this requires the creation of mature markets for clean technologies. As Séjourné pointed out, their goal is to accelerate legislation that will consolidate the EU as a leader in clean tech and support investment in green R&D.
However, it was warned that high energy costs, high green taxes and excessive bureaucracy could penalize energy-intensive industries, such as steel and chemicals. The president of PGE, Poland’s main power utility, warned that in some EU countries the tax burden on the electricity sector can reach 5 billion euros per year. This tax burden, unique in its form and magnitude in the global context, is leading many companies to relocate their production to countries where energy is more affordable and regulatory burdens are lower.
In his words: “If we do not make the European economy more competitive in production, we will be lost because we will have no goods to trade”. In line with this, a pragmatic middle ground was called for: promoting decarbonization, but calibrating regulations so as not to stifle industrial production.
Markets, investors and entrepreneurship
Another central theme was how to turn the Single European Market into a hub for investment and entrepreneurship. Several speakers stated that Europe needs to create new markets instead of chasing saturated ones. A large part of innovation today comes from emerging markets in which the EU must invest. In this sense, there was talk of promoting sectors where Europe already has advantages, such as maritime logistics, where five of the largest global companies are European.
The European Commission announced its intention to soon present a new Single Market strategy that will address administrative simplification, eliminate regulatory barriers and strengthen financing (especially for SMEs and ITEs). The sessions commented on the validity of the Draghi and Letta Reports and the need to urgently intensify the dialogue with companies to ensure that regulations are agile and aligned with business reality.
Simplification of the single market
Several panels insisted that the European single market is not yet fully implemented in practice. Specific obstacles were mentioned: for example, differences in labeling or packaging standards between countries or internal customs formalities. This complicates pan-European value chain activity and increases production costs.
In summary, governments and the EU were asked for greater regulatory coherence. In general, the EU executive was asked to fully implement the principles of free movement and to coordinate national ministries so that companies do not have to negotiate hundreds of different exceptions at each regional border.
Defense and security industry
During the day, the issue of European defense in the context of the war in Ukraine was also addressed. Commissioner Andrius Kubilius used a metaphor to describe the situation: “Europe is facing a perfect security storm”. He stressed that Russia maintains its offensive in Ukraine, while diplomatic avenues still fail to achieve significant results, and pointed to possible changes in the level of U.S. military engagement. The main message was the need for Europe to prepare for a more uncertain geopolitical environment by strengthening its defense capabilities and increasing strategic investment in this area.
In fact, Kubilius recalled that the Draghi Report concludes that “the defense and space sectors are among the most decisive for highly competitive economies”. In this sense, strengthening our defense industry also serves to invigorate civil industry: military equipment, munitions, drones and dual technologies are booming markets. The European Rearm EU program was announced, with billions dedicated to military modernization, and the development of projects of common interest to boost it.
Unity and urgency
Overall, the Industry Days left a sense of unity and urgency. Several speakers stressed that, in the face of the current existential challenge, the only way forward is “WE”. The days made it clear that European reindustrialization must go hand in hand with a profound modernization of the political and economic framework. Europe starts from a solid base, but faces fierce competition, yet the solutions have been identified. The challenge is enormous, but there is consensus on two words : “working together”.