As the European Parliament in Brussels prepares for the upcoming hearings of the Commissioners-designate in early November, it is clear that the new European Commission will face a crucial mandate for the years ahead.
Mrs Von der Leyen's new team should be ready to address the EU's economic challenges, its energy and defence dependence, the undermining of the Schengen Area's legal foundations, and the strengthening of the Union's geopolitical influence. The past five years have demonstrated the Commission’s ability to respond swiftly to crises. Yet, the journey ahead remains challenging.
Europe's economic landscape faces significant hurdles. In a recent report, Mario Draghi highlighted vital issues that Europe's wealth creation struggles, such as insufficient investment in innovation and low R&D spending.
The productivity gap between the European Union and the United States remains considerable. The Letta Report noted that the EU's fragmented financial and digital markets and high energy costs limit its competitiveness as a single market.
The EU has tackled many challenges, from economic to geopolitical crises. Over the last five years, it has taken initiatives like the green and digital transitions, the pandemic response, and measures to counter Russia's invasion of Ukraine. The EU deployed the Recovery and Resilience Facility (RRF) to support reforms and investments in the Member States and agreed to begin accession talks with Ukraine and Moldova.
Nevertheless, a concerning trend is the rise of the far right in the European Parliament and several member states. This shift has eroded the presence of centrist parties, whose seat share has dropped from 85% to 65% over the past 15 years. The new far-right parties have attracted voters via populist, anti-immigration, and protectionist policies, which risk undermining Europe's competitiveness - an already elusive goal.
Defining competitiveness itself remains challenging. Often misunderstood as minimizing regulation, competitiveness for companies refers to profit and growth, but for countries, it relates to overall well-being. This complexity is reflected in the Draghi Report, which, despite being focused on competitiveness, needs to be clearly defined. With such a definition, it's easier for the new Commission to measure success in this area effectively.
Geopolitically, the EU aims to assert itself as a global player. While Mrs von der Leyen's goal for a "Geopolitical Commission" was forward-thinking, it's limited by the EU's constrained foreign and security policy powers. The proposed defence commissioner appointment has raised some concerns from former NATO boss Jens Stoltenberg about potential duplication with NATO.
A Donald Trump victory in the presidential election in the United States would likely bring additional challenges and changes for the European Union, especially in areas such as foreign policy, defence, climate change, and trade.
Trump's "America First" policy often led to tense relations with NATO allies, as he questioned Washington’s commitment to NATO's mutual defence obligations. He also pushed European allies to increase their defence spending. A new Trump administration could weaken the alliance with Europe, prompting the EU to advance its defence capabilities further and pursue a larger strategic autonomy. This shift could accelerate European efforts to reduce dependency on military support from Washington.
Mrs von der Leyen's second term must prioritize delivering concrete results. After extensive legislative efforts, the focus should be on effectively enforcing these new regulations. As highlighted by Letta, implementing a more robust single market could drive economic growth, and further enlargement would extend this market, contributing to geopolitical stability across Europe. Finally, communicating these achievements effectively is essential.
Picture by Leander
I agree with the first published comment below by Kushal Kumar.
My comment is the following. First analysis of the writer’s interesting story, which central point- according to me, is the focus of the condition of the EU. In this, he takes up some references to the
works of central politicians of EU and analyzing writers. Thus one of the central point is - according to the writer, expressed in this sentence:
"Defining competitiveness itself remains challenging. Often misunderstood as minimizing regulation, competitiveness for companies refers to profit and growth, but for countries, it relates to overall well-being."
To me, the question concerns even the central question of Knowledge, the Way of thinking, and thus the Values too of the…
Excellent, to the point and intelligible analysis. Well done. Congratulations.