On 1 July 2026, the ESN Group tabled four amendments to the European Parliament's annual competition policy report for 2025, challenging the EU's reliance on state aid and public investment as tools for industrial competitiveness. The amendments, authored by MEPs Sarah Knafo and Marcin Sypniewski, propose a shift towards protectionist procurement policies and express scepticism about flagship EU strategies.
The most far-reaching change, Amendment 10, calls on member states to move away from subsidies entirely and instead use public procurement reserved for European companies. This directly opposes the current Commission approach of using state aid to support strategic industries and would represent a major shift towards economic nationalism. Amendment 9 alters the report's endorsement of the Draghi and Letta competitiveness reports by adding a note of regret that similar strategies, such as the Lisbon Agenda, have failed in the past, undermining the urgency of current investment proposals. Amendment 12 criticises aid frameworks linked to the Clean Industrial Deal and Green Deal, arguing they have led to higher energy costs and regulatory burdens that shift costs onto consumers. Amendment 11 retains language on scaling up European companies but frames it within the broader critique, signalling that growth should come through market forces and procurement, not subsidies.
The amendments are proposed changes to the report by rapporteur Stéphanie Yon-Courtin and have not yet been voted on. They will be examined by the committee and subsequently put to a plenary vote. If adopted, they would significantly alter the Parliament's position on competition and industrial policy, moving away from state-led subsidy models towards a more protectionist, market-based approach. The ESN Group's proposals challenge the core premises of the Commission's strategy, particularly on green industrial policy and the use of state aid for European champions. Stakeholders most impacted include EU producers, who would face a shift from subsidies to procurement preferences; EU consumers, who may see higher costs from protectionist policies; and EU regulatory bodies, which would need to redesign state aid frameworks. The amendments also affect EU distributors and other economic entities in sectors reliant on subsidies, such as green technology and manufacturing. The institutional follow-up will involve committee discussions, a plenary vote, and potential trilogue negotiations with the Council if the Parliament adopts the amendments as its position.