The European Commission's proposed Industrial Accelerator Act, known as the 'Made in EU' law, would require local content and low-carbon standards for products bought through public procurement, auctions, and subsidies. It covers strategic sectors including solar panels, batteries, electric vehicles, steel, and aluminium, aiming to reduce reliance on China for green tech. For example, solar panels would need EU-made cells and inverters within three years, while EVs must be assembled in the EU with 70% EU-made components excluding the battery. Steel would need to be 25% low-carbon, and aluminium 25% EU-made and low-carbon. Britain is concerned that exclusion from the 'Made in EU' designation could hurt its car industry, given a €80 billion trading relationship. The proposal also includes conditions on foreign investments over €100 million in sectors where a country controls 40% of global manufacturing capacity, a rule seen as targeting China. The law still needs approval from EU governments and the Parliament, with member states divided over how strict to be. France wants tighter limits on non-EU countries, while Sweden, Czech Republic, and Germany worry about deterring investment and raising prices.
