European Union

The EU is fracturing in its defense of 'Made in Europe'

France is calling for restrictions on public tenders for European companies, while Germany and Italy are reluctant.

12/02/2026

BrusselsIt's a debate that resurfaces periodically in the European Union and always ends up forming the same blocs of member states. The historically more protectionist countries, embodied above all by France, advocate for allocating public funding to purchases and industries with a European stamp. In contrast, EU partners with a more open and free-trade tradition, such as Germany and the Netherlands, argue for being less restrictive with public and private investment. This discussion has been brought back to the table by French President Emmanuel Macron in the face of Donald Trump's constant attacks on the EU, which represent a clear cooling of transatlantic relations, and the growing threat that the bloc perceives from Chinese industry. Therefore, the Buy EuropeanThe French operation to pressure other member states, dubbed "the EU's strategy," will be one of the main topics of discussion at the informal summit of European leaders taking place at Alden Biesen Castle, near the Belgian city of Liège. In this context, the EU is seeking new alternative trading partners in China and the United States, and in just a few days has ratified the agreement with Mercosur—Argentina, Brazil, Uruguay, Paraguay, and Bolivia—and finalized a pact with India. Furthermore, the European bloc wants to increase its autonomy and reduce its exposure to foreign powers, especially China and the United States. France, joined by Spain, argues that the way to boost European industry and competitiveness is to ensure that public and some private investment is channeled within the European bloc. Macron says it's not about "protectionism" but about "protecting themselves," just as he claims China already does, maintaining a much more closed market than the EU or the US. However, German Chancellor Friedrich Merz, who has once again aligned himself with Italian Prime Minister Giorgia Meloni, is more in favor of European preference in, for example, public tenders, but doesn't want to completely close the European market. Both Germany and Italy are exporting powerhouses and fear that a clause Made in Europe The one proposed by France could pose a challenge to its industries, both in terms of the supply of some products and a potential increase in prices.

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Beyond the member states, the European Commission is also divided. While the Commissioner for the Internal Market, Frenchman Stéphane Séjourné, is staunchly defending Paris's position, the President of the European Commission, Ursula von der Leyen, has openly supported the stance of Berlin and Rome. In fact, Brussels has already proposed that Ukraine be allowed to use the €90 billion loan to purchase weapons from outside the EU if European industry cannot supply them with the same speed and price—an exception that France wanted to avoid at all costs. Meanwhile, the German Chancellor and the Italian Prime Minister, who have become close allies within the EU, want the debate at Tuesday's European summit to focus more on finding ways to reduce bureaucracy within the bloc and make life easier for investors and the private sector. Von der Leyen has already promoted several measures in this regard and has assured that Brussels will continue to present legislative proposals to further reduce paperwork and regulation. Despite the evident differences, Macron and Merz met bilaterally before the start of the summit and affirmed that the Franco-German axis remains "very solid." Meloni also sought to downplay the division and asserted that his coalition with the German Chancellor, in many aspects, "is not against anyone," not even against the French President. A multi-speed EU

There is growing consensus on the need for an EU that acts more quickly and doesn't get bogged down in endless debates. For this reason, a growing number of member states, including the European Commission itself, are advocating for abandoning the dogma of unanimity and thus preventing the bloc's black sheep, such as Hungary and Slovakia, from stalling key measures, both in terms of competitiveness and, for example, regarding the war in Ukraine.

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Von der Leyen has not only raised the possibility of abandoning unanimity in some cases, but in her letter prior to the European summit, she also advocated for a multi-speed EU. This means that each country should align itself with the initiatives it deems appropriate, but that if a member state refuses to participate, the initiative should not be blocked. The Eurozone and the Schengen Area are clear examples of an EU tailored to the interests and desires of each member state.