Germany-based metalworkers’ union IG Metall has reacted cautiously to the EU’s proposed Industrial Accelerator Act, stating that, while the draft includes some constructive elements, it still requires substantial improvements to effectively support European manufacturing.
According to the union, the proposal contains positive aspects such as the introduction of local-content requirements in strategic sectors through public procurement and funding programs. Industry representatives have also welcomed the recognition of steel as an energy-intensive and strategic sector within the legislation.
However, IG Metall noted that this designation currently applies only to sustainability requirements and does not include clear criteria related to production location.
Concerns over lack of “Made in Europe” provisions
The union argued that, without explicit provisions encouraging production within the European Union, the policy could weaken the competitiveness of European industry.
IG Metall pointed out that German Chancellor Friedrich Merz had previously expressed support for stronger industrial safeguards during discussions with the steel sector. The union therefore emphasized that these commitments should be clearly reflected in the final legislation.
Strategic sector list seen as inconsistent
Nevertheless, IG Metall criticized the overall list of strategic sectors included in the proposal, arguing that it lacks coherence and a clear strategic direction.
The union highlighted that certain high-technology sectors such as semiconductors and quantum computing are not included in the current framework and called for a broader industrial strategy that incorporates additional strategically important industries.
Concerns about treatment of trade partners and slow implementation
Another issue raised by the union concerns the treatment of suppliers from countries that maintain free trade agreements or customs arrangements with the EU. Under the current proposal, suppliers from these partner countries may be treated similarly to EU-based producers in some cases. IG Metall warned that this approach could dilute the effectiveness of the policy by focusing primarily on limiting Chinese imports rather than actively promoting manufacturing within the EU.
The union also criticized the proposed implementation timeline, noting that key provisions are scheduled to take effect only in 2029. According to IG Metall, this timeline is too slow given the urgent competitive pressures currently facing European industry.
Overall, the union has called for further improvements during the legislative process to ensure that the Industrial Accelerator Act effectively strengthens industrial production in Germany and across Europe while safeguarding employment and long-term investment.