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Germany's SPD Demands 'Buy European' Push to Protect Local Industry

Europe's industrial future hangs in the balance as Germany's SPD fights to rewrite the rules. Will 'Buy European' save jobs—or spark a trade war?

The image shows an old map of Europe from the early 20th century, depicting the extent of the...
The image shows an old map of Europe from the early 20th century, depicting the extent of the European Union. The paper has text written on it, providing further details about the region.

Germany's SPD Demands 'Buy European' Push to Protect Local Industry

Germany's SPD party is pushing for a tougher European industrial policy to shield local jobs and industries. A new resolution, set for approval on Monday, will demand a more aggressive 'Buy European' strategy in public contracts. Party leaders argue that Europe must act now to counter competition from the U.S. and China.

The SPD's executive board wants public funding and procurement to focus on securing domestic supply chains and long-term employment. Co-leader Bärbel Bas stressed that a strong industrial policy should boost production, value creation, and jobs within the EU single market. The party also aims to cut reliance on foreign supplies by expanding renewable energy, forming new energy partnerships, and diversifying supply routes.

Vice Chancellor Lars Klingbeil warned that Europe cannot stay passive while other economic powers protect their industries and exploit dependencies. The SPD leadership has criticised China for heavy state subsidies and the U.S. for high tariffs, insisting Europe must avoid naivety in trade policy.

Meanwhile, Finance Minister Christian Lindner has attacked the EU's Industrial Accelerator Act for lacking ambition. He is pushing for clearer rules to favour European steel producers. The European Commission has backed planned EU steel protections after mid-2026, when current safeguards expire, but the SPD wants faster and more decisive action.

The party also calls for simpler, less bureaucratic rules to enforce 'Buy European' policies in public contracts. Their goal is to insulate domestic markets from foreign competition while ensuring long-term industrial stability.

The SPD's resolution will be voted on this Monday, setting the stage for a potential shift in EU trade policy. If adopted, the measures could reshape public procurement rules and strengthen protections for European industries. The outcome will depend on broader EU negotiations and responses from competing economic blocs.

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