Competitiveness
Ever since the EU Commissioners took office in December 2024, the EC introduced a series of measures. These aim at boosting competitiveness by strengthening clean tech (eco-friendly technology solutions), quantum computing and AI alongside attracting private investment. Planned measures include:
- instruments such as InvestEU, NextGenerationEU and SAFE designed to attract private investment in strategic sectors
- legislation like the Cloud and AI Development Act, the Chips Act and the Quantum Act. These aim to scale up Europe’s computing infrastructure and accelerate the deployment of advanced technology. Regulatory sandboxes are further to provide controlled environments to test innovation.
- ‘Omnibus’ packages aimed at reducing administrative and reporting burdens. The Digital and the Circular Economy Omnibus will be key to complete the single market and foster growth in technology
What this means for you: This could translate into easier access to blended finance instruments and reduced capital costs for projects in technology, clean energy, and defense. These initiatives often favor consortia, creating opportunities for collaboration with European firms.
Businesses might also benefit from scaling operations in such areas as cloud services, semiconductors, and quantum computing. In addition, if the EU single market is enhanced or completed, cross-border operations should become smoother.
Overall, some measures could introduce legal uncertainty, but the push for competitiveness can act as a catalyst for growth.
Security and resilience
Planned measures to strengthen the EU’s security and resilience affecting global businesses include:
- using existing tools to address anti-competition conduct, including the screening of foreign investment and foreign subsidies. Oversight under the DMA, DSA and competition rules will continue. Considering the novelty and ambiguity around these laws clarification from EU courts is expected to increase
- advancing trade agreements and strategic partnerships. For example with the US, Canada, Mexico and Japan, ASEAN and the Mercosur agreement
- sanctions remains central to EU responses to geopolitical tensions and are expected to continue as part of defense measures
- supply chain legislation, such as the Critical Medicines Act and the upcoming Advanced Materials Act aim to secure access to essential goods. These measures are supported by State aid guidance for pharmaceutical projects of strategic importance
- revising the Europol Regulation aims to strengthen Europol’s mandate to address organized crime and cyber threats. Enhanced enforcement is expected
- diversifying energy sources to reduce reliance on Russian fossil fuels remains a priority. Recent US sourcing reinforces transatlantic cooperation and clean energy goals
What this means for you: Measures intended to reduce systemic risks create a more level playing field for businesses. However, uncertainty around the application of new rules may increase litigation risk. Businesses that aim for compliance and invest in supply chain resilience can reduce exposure to geopolitical shocks. Offering alternative sourcing options may further create stability and growth.
For businesses active in renewables, the EU’s long-term clean energy push could pave the way for joint ventures and technology deployment.
High standards
The EU’s continued approach to set high standards includes:
- prioritizing protection of vulnerable consumer groups in digital and international commerce. Minors, for instance, are central to the upcoming Digital Fairness Act and regulations related to e-commerce
- a risk-based approach to AI regulation, advocating international standards. Evidenced by the EU’s implementation of the AI Act in August 2025 and an upcoming report on AI in international trade
- the Consumer Agenda 2030, which aims to introduce measures to complete the single market for consumers. But is also includes the considerations around digital fairness; the promotion of sustainable consumption; enhanced enforcement and redress for consumers; and a revision of the Consumer Protection Cooperation Regulation
What this means for you: Businesses can strengthen consumer trust in digital platforms by investing in robust compliance and transparency measures. Setting high standards for data privacy and minors position you as leaders in responsible digital commerce.
However, applying EU requirements will remain resource-intensive. Businesses should therefore anticipate global trends and consider participating in standard-setting discussions. If EU rules become a benchmark for global norms, early adaptation may offer a competitive advantage internationally.
Non-compliance carries significant risks, including enforcement risks, reputational damage and financial penalties. The strategic question for businesses is whether to treat compliance as a cost center or as an investment in long-term market positioning. Those that move early may not only reduce risk but also shape the competitive landscape.
Climate neutrality and energy independence
The EC has reaffirmed its commitment to the Green Deal, which is complemented by the Clean Industrial Deal (CID) and the REPowerEU strategy. Key elements include:
- updated State Aid Rules aimed at simplifying procedures and broadening opportunities for national funding
- upcoming legislation such as the Circular Economy Act are planned to promote recycling, reuse, sustainable manufacturing. And to ensure access to critical raw materials in the EU
- the Industrial Accelerator Act is intended to streamline permitting, introduce an EU label for low-carbon products, and stimulate demand through public procurement
- the European Grids Package. This is designed to modernize energy infrastructure, support electrification and renewables integration, and enhance energy security. Affordable energy will also remain a top priority to increase consumer demand
What this means for you: Easier access to national funding could support participation in clean tech, advanced manufacturing, and critical raw material supply chains. However, European Member States may prioritize domestic firms, which could limit opportunities for others.
Faster approvals in the energy sector could help industrial projects reach the market more quickly, creating an advantage for those ready to act. Public procurement policies that favor low-carbon products could also create new opportunities. However meeting EU low-carbon criteria may mean significant product redesign or certification.
The key question for businesses is whether to invest early to capture these opportunities or wait for clearer guidance on compliance. Moving early could secure a first-mover advantage, whilst delaying might reduce risk but increase adaptation costs later.
Key contacts
Dr. Alexander Niethammer, LL.M. Managing Partner Rechtsanwalt, Attorney-at-Law (New York), Managing Partner Germany T: +49 89 54565 318 E: alexanderniethammer@ eversheds-sutherland.com
Pia Krökel Caruana Knowledge Lawyer Member of the EU Knowledge Hub T: +32 472 88 87 37 E: PiaKroekelCaruana@ eversheds-sutherland.com
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