20 January 2026 at 11:29 pm IST
The European Union is preparing a draft legal proposal that would introduce minimum “made in Europe” requirements for public procurement of key green technologies, aiming to fortify its industrial base and reduce reliance on imports from outside the bloc. The initiative, developed by the European Commission, is part of a wider strategy to ensure that the continent’s transition to clean energy also supports domestic manufacturing and long-term competitiveness. Under the proposed framework, governments and public institutions across EU member states would be required to give preference to products and components that are assembled or produced within Europe when purchasing technologies critical to decarbonisation. These would include batteries for electric vehicles, solar and wind energy components, and other essential elements of the green economy. The rules are designed to be phased in over time, with initial sourcing thresholds set for when the law takes effect. The draft envisages that within 12 months of the regulation’s enactment, battery systems bought through public procurement must be assembled inside the EU, with several key components sourced locally. After two years, the requirements would tighten further to require a broader set of core components, including battery cells, to be Europe-made. Similar localisation principles would apply to power cables, EV charging infrastructure and other low-carbon industrial goods. While the policy aims to strengthen the European green technology supply chain and reduce dependency on imports — particularly from China, which currently dominates production in sectors like photovoltaics and battery manufacturing — it has split opinion among EU governments. Some member states support the move as a safeguard for strategic industries, while others warn that such “buy local” provisions could raise costs for public contracts and weaken competitiveness if not carefully balanced with market realities.