The run-up of the industry

European industry ventures on an uphill road. Factories across the Old Continent strive to withstand the competition of American, Chinese and Japanese companies. Sometimes the obstacles are “external”, owing to the surrounding “economic environment” which includes the credit system, the results of the research, and the efficiency of the public administration… For these reasons the European Union has decided to prioritize the promotion of manufacturing industries. Last year the Commission presented a modernization and relaunch strategy (most of which has not yet been implemented). Representatives of EU 28 Member countries have returned on the issue during the Competitiveness Council of September 26-27. The first European Council of Heads of Government and State devoted to the industrial sector is tabled for February 2014.Unbalances and delays. “Productivity and unemployment are the weak spots” in the European industrial sector of EU economy. Moreover, competitiveness delays in the manufacturing sector thwart growth. There is a need for coordinated measures, for governance along with the “harmonization” of EU28. We must address “unbalances in Member States at various levels: taxation, bureaucracy, infrastructure, supply and energy costs, delays in civil justice, research and training.” The analysis by Industry Commissioner Antonio Tajani, who on September 25 presented two reports on the competitiveness of the manufacturing sector in EU28, covered various micro and macroeconomic aspects. Industrial policy is not a direct competence of the Community, but rather, Tajani said, there are areas in which “we can act together”, such as the completion of the single market, support to small and medium enterprises, research and innovation. The EU executive vice-President added: “As for now, post-industrial EU has failed”, while “manufacturing remains a source of employment, investment and EU exports at global level.” States’ classification. For the EU Commission the problems weighing upon the industrial sector include SMEs’ difficulties in gaining access to credit along with lower investments, while there is the need for “a significant improvement in the performance of public administration and to establish a closer link between schools and enterprises.” There remains the need to develop job opportunities: since 2008 3.8 million working in the European industry sector have lost their jobs. The comparative analysis on competitiveness provided by the Commission, which evaluated five key areas (innovation and sustainability, the business environment, infrastructure and services for businesses, public administration, investments, skills), clearly shows that the 28 EU member states fall within three large groups. The advanced group that registered “positive results in all areas of competitiveness” includes Austria, Belgium, Denmark, Finland, France, Germany, Ireland, Luxembourg, the Netherlands, Spain (with some exceptions), Sweden and the United Kingdom, while a group of countries are marked by low competitive ability. These are: Cyprus, Greece, Italy, Malta, Portugal and Slovenia. Finally, the group of countries lagging behind are: Bulgaria, Croatia, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania and Slovakia. Positive aspects, priorities. The Executive equally highlighted a set of positive aspects. The Commission made known that “exports have been the main engine of industrial activity”: to this regard the EU has surpassed the U.S. and Japan (in 2012 the trade surplus in Europe amounted to € 365 billion). Furthermore, the results “in innovation have improved since 2008”; the business environment “has improved in most Member States;” while “most EU countries have improved the skills base of their workforce.” The Commission thus focused on certain priorities, namely, “to simplify SMEs daily activity”; to reduce production costs (energy, raw materials…); improving access to finance; to facilitate investment in new technologies, to increase the training and education of young people.