Europe is at a critical crossroads, according to a new Syndex report commissioned by industriAll Europe and presented at its Executive Committee meeting on 26-27 November in Brussels. The findings are stark: out of 18 key industrial sectors, only one - aerospace/defence - remains in globally competitive shape. Without urgent investment and a decisive strategic shift, Europe risks accelerated deindustrialisation, deepening dependency and the loss of millions of good industrial jobs.

The report confirms that industrial decline is not inevitable, it is a political choice. Investment is stalled, restructuring is sweeping through value chains and global competitors are surging ahead. Europe is increasingly playing an uneven game, caught between the US’s massive industrial support and protectionism, and China’s state-backed strategic planning. Europe meanwhile continues to rely on an open market, low tariffs and fiscal restraint precisely when its industrial base needs strengthening for the green and digital transitions.

Key Findings of the Report EN FR DE

• Urgency: Only 1 of 18* sectors is in fit shape; investments are stalled and restructuring is underway across value chains.
• Investment gap: The EU Stability and Growth Pact is constraining the investment needed for industrial and social transformation.
• Declining RDI position: Europe excels in basic research but lags behind in applied research. RDI spending is not keeping pace with technological developments.
• Weak economic and labour market planning: Mandatory transition planning, with incentives for industry, is key to addressing labour and skills shortages.
• Energy prices: Europe needs a far more ambitious agenda on energy grids and pricing rules to guarantee affordable, low-carbon energy.
• Rising global overcapacities are failing free trade: The borders of the internal market must be strengthened. As free and fair trade principles are compromised, Europe cannot give free access to its market.
• Profit maximisation strategies: Companies continue to prioritise shareholder payouts instead of reinvesting in industrial capacity.
• Sovereignty as driver: Strategic autonomy and strategic cooperation are now vital. Hoping for a return to business-as-usual means deindustrialisation and dependence.
• The case for Europe: Europe remains an attractive place to invest – with a skilled workforce, the largest single market, world class research institutions, competitive businesses, political stability and strong outcomes in terms of education, life expectancy, equality and security. We must make the case for Europe again. With confidence!

Trade Union Demands: A Real Industrial Strategy for Europe

European trade unions united in industriAll Europe call for a bold industrial strategy built on investment, strong labour rights and resilient value chains. Central demands include:

• A real investment agenda through a Multiannual Financial Framework at the scale of industrial needs, revised fiscal rules and strong commitments from companies.
• Social and local content conditionalities on all public support to ensure investment benefits European workers and sites.
• An employment protection mechanism, inspired by the SURE programme, to prevent irreversible industrial job losses.
• Mandatory transition planning to ensure coordinated industrial and labour market planning for a Just Transition.
• Action on global overcapacities and unfair trade to secure investments in Europe’s transforming industries.
• A more ambitious agenda on energy grids and pricing rules to ensure affordable, low carbon energy for Europe’s industries.