The EU Commission wants to be able to intervene in production in crises

by time news

Certain orders for the production of “crisis-relevant goods” are to be given preferential treatment. However, some things can still change in the draft.

In the event of crises such as the corona pandemic or the Russian war against Ukraine, the EU Commission wants to be able to set production targets for companies in the future. Specifically, it is about treating certain orders for the production of “crisis-relevant goods” preferentially, as can be seen from a draft law that is available to the German Press Agency.

First of all, companies should do this on a voluntary basis. However, if they do not accept the recommendations, the Commission could oblige companies to give priority to certain orders “in exceptional circumstances”. The “Frankfurter Allgemeine Zeitung” (Friday), among others, had previously reported.

In extreme cases, it should also be possible for the EU states to create reserves of important goods. Here, too, it is initially unclear which goods are involved. The draft only states that goods and services of strategic importance are those that “are not diversifiable and non-interchangeable and are essential for the functioning of the internal market in strategically important areas of the economy”.

Compromise has yet to be negotiated

However, some things can still change in the design. It has not yet been formally presented by the EU Commission. According to the current status, it is planned that Ursula von der Leyen’s cabinet will make a decision in a good ten days. In addition, EU states and the EU Parliament as co-legislators would still have to negotiate a compromise. This usually takes several months, but in some cases significantly longer.

In general, the project provides for three phases: emergency planning, vigilance mode and emergency mode. Coercive measures for companies should only be possible once emergency mode has been declared. This can be the case, for example, if there have already been serious disruptions to the internal market. The emergency mode should also be limited to six months.

(APA/dpa)

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