The European Single Market - one of the EU's greatest achievements - is stuttering, according to several industry stakeholders. Their concerns include too much fragmentation, excessive bureaucracy, and lack of harmonised rules. Former Italian Prime Minister Enrico Letta was tasked with preparing a report on the future of the Single Market, set to be discussed by European heads of government in the coming months.
In today's geopolitically tense landscape, the Single Market is designed to ensure European economic power and industrial strength. But the impact of this varies across EU Member States and European companies, particularly SMEs. Recognising these disparities is crucial, especially when considering the cost burden of the green and digital transitions.
With the upcoming EU elections and a new European legislature on the horizon, significant shifts are anticipated in the Single Market and its development. Some industries, like the mechanical and plant engineering sector, even call for a radical masterplan to deepen the Single Market. How this could look is still uncertain. But the new setup of the EU institutions could influence integration levels, cooperation dynamics, and competitiveness among Member States, shaping the market's future and its ability to confront evolving economic challenges.