Despite the advantages relating to the EU’s internal market, barriers costing the equivalent of a 44% customs duty on the movement of goods persist, according to a study published by the International Monetary Fund at the end of 2024. For services, this tariff equivalent rises to 110%.
The European Commission wants to break down all these barriers within the next few years, with the ultimate aim of becoming more competitive. On Wednesday 21 May, the Commission listed all the initiatives it intends to take over the next two years in its “strategy” entitled “for making the Single Market simple, seamless and strong”. Agence Europe had previously detailed a provisional draft of it (see EUROPE 13633/4).
But the problems remain, mostly with those Member States that are blocking harmonisation or failing to apply the rules in force.
In order to take the subject very seriously, Stéphane Séjourné, the Commission Vice-President responsible for the internal market, also wants to propose an ‘internal market’ adviser in each government, at the highest level, i.e. ministerial level. “If we want results, we have to be able to deal with the issue at a political level”, he explained.
Circulation of goods. It is above all the divergent standards and rules between Member States that are hampering business. The Commission will be presenting harmonisation measures such as a digital product passport accessible via a QR code, in 2026. This is to get round the differing labelling rules of the EU27.
The recycling sector, meanwhile, will be the subject of an ‘omnibus’ initiative on the environment before the end of the year. In this context, moreover, the Commission intends to abolish certain obligations relating to extended producer responsibility (EPR). It believes that this rule, which makes producers responsible for recycling their products, places too many obligations on them.
More immediately, the Commission has proposed tackling the process of setting standards through its fourth ‘omnibus’ initiative (see other news). Believing that the bodies responsible for establishing standards are too slow in their work, the European Commission wants to regain power and establish what are known as ‘common technical specifications’ (CTS) itself.
The latter are even more detailed and technical than standards, but they can have an equivalent effect. “A company can then say, okay, I comply with the common specifications and therefore I’m in conformity with the product legislation in Europe”, a senior official told Agence Europe.
“It takes us several years to get standards from the competent bodies in Europe, even though China and the United States already have them and are imposing them on us on the international market”, deplored Stéphane Séjourné.
In 2026, the Commission also plans to revise the Standardisation Regulation more broadly.
Circulation of services. With regard to the provision of services, which is hampered by numerous constraints in the EU, the Commission is also proposing concrete measures, albeit on a more phased basis. It wants to lay the foundations for a 28th regime for businesses, from 2026. Initially, this will involve the possibility of establishing a company capable of operating in Europe.
The other rules will have to be applied at national level, pending the consensus needed to arrive at a potential 28th social or even tax regime. An ultimate goal which, for the moment, seems out of reach.
Another problem undermining the circulation of services on the continent is the non-recognition of professional qualifications. Of the 5,700 regulated professions on the continent, only seven are harmonised at European level, explained Mr Séjourné. “We are unable to agree at European level on a common definition of physiotherapist”, he lamented. He therefore intends to begin work with a number of “willing” countries to extend the list of regulated professions at European level.
The European Commission also wants to speed up procedures for recognising qualifications, in particular by making greater use of digital tools. It will be putting forward a proposal to this effect next year.
But the Commission also intends to take a tougher line on the many reported or suspected infringements among Member States, particularly with regard to the rules on recognition of qualifications. Many Member States do not comply with the rules governing the reception of professionals from other countries, and the infringement proceedings initiated result in little compliance. A new round of infringements is expected to be announced at the beginning of June.
See the Commission communication: https://aeur.eu/f/gxy (Original version in French by Léa Marchal)