European governments should more assertively use their enormous combined purchasing power to strengthen the European economy, says the European Commission. When choosing purchases and services, not only costs should matter. European production, employment, innovation, sustainability, and economic resilience should also have a greater role.
Dependence
The European Parliament wants to tighten the proposal in certain areas, as seen from their initial responses. This also applies to the Industrial Accelerator Act, which aims to promote European production. Strategic business sectors and products receive special attention here, because the EU wants to reduce its dependence on foreign suppliers for important goods and technologies.
A stricter economic stance towards China does not mean, according to European plans, that trade relations must be broken. The EU wants to reduce dependence and better protect European interests, while at the same time continuing dialogue and economic relations with China.
Promotion
Priority
An important means for this are conditions tied to the spending of public money. In tenders, it can be required that products are made in the EU (or in the specific city or region). This can give European companies a better starting position and, in certain cases, exclude Chinese suppliers.
The way contracts are awarded will also change. The lowest price should no longer automatically be decisive. Quality, sustainability, social conditions, and supply security can weigh more heavily. The reform should therefore link public expenditures more explicitly to broader European economic and societal goals.
At the same time, the procurement system must become simpler, including for local governments and smaller businesses. Digitization is supported. However, there is a warning that simplification must not lead to deregulation and the removal of existing social obligations for companies.
Food
Sustainability will also take a larger role. For food purchases, there is a plea for more sustainable, organic, and European products. European agricultural organizations have already responded positively; they believe that even small local governments should start considering this. In various EU countries, joint midday meals are being strengthened in public schools, hospitals, universities, nursing homes, etc.
The European Commission's proposals are not yet final: the European Parliament and the EU countries still have to express their opinions and may introduce further changes and tightenings during the negotiations.