European Commissioner for Industrial Strategy Stéphane Séjourné presented the Industrial Acceleration Act (IAA) to a joint meeting of the INTA, ITRE and IMCO committees on 2 June 2026, framing it as a response to an unprecedented industrial crisis driven by China's state-subsidised overcapacity. Citing 200,000 EU job losses since 2024 and China's dominance in steel, batteries and solar panels, Séjourné outlined three pillars: European preference in public procurement with a 'made in Europe' requirement for key components, conditional foreign direct investment (FDI) screening for investments over €100 million from countries with more than 40% global capacity, and permitting simplification via a single digital one-stop shop and priority industry zones. The proposal includes a 49% foreign ownership cap, requirements for tech transfer and 50% EU jobs, and self-declaration to minimise red tape.
Co-rapporteurs broadly welcomed the text but pushed for stronger ambition. Anna Cavazzini (Greens-EFA, INTA) stressed the need for strict criteria for trusted partners and effective investment conditionings to avoid circumvention. Christophe Grudler (Renew, ITRE) criticised the current scope covering over 80 non-EU countries, arguing that 'made in Europe' must be meaningful and that thresholds for components are too limited. Pierre Jouvet (S&D, IMCO) called for clearer rules of origin, lower derogation thresholds (currently 25-30%), and social conditionality across the entire text.
Divergences on scope and ambition
Divergences emerged on scope and ambition. Dirk Gotink (EPP, INTA) warned against overcomplicating the text, urged caution on setting industrial targets (citing Chinese inefficiencies), and stressed not closing doors to allies. Tomislav Sokol (EPP, IMCO) welcomed the direction but noted the need to balance openness with competitiveness. The debate highlighted a split between those seeking stronger European preference and those warning against protectionism and administrative burden.
Next steps and stakeholder impact
The three committees will now work on amendments, with a tight timeline given the urgency. Affected stakeholders include energy-intensive industries (steel, aluminium, cement, chemicals), automotive, clean tech (batteries, solar, wind, heat pumps, nuclear), and SMEs, who fear compliance costs but stand to benefit from demand guarantees.