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European Commission - Speech Keynote speech by Commissioner Dombrovskis at Economic Forum in Hanover Hannover, 19 April 2026 Meine Damen und Herren, Thank you for the invitation to join you today. It is a pleasure to be here in Hannover, a city that, in many ways, represents the best of what Europe offers to the world : crossroads for ideas and trade, a hub for innovation, and a dynamism shaped by a proud industrial ...
European Commission - Speech Keynote speech by Commissioner Dombrovskis at Economic Forum in Hanover Hannover, 19 April 2026 Meine Damen und Herren, Thank you for the invitation to join you today. It is a pleasure to be here in Hannover, a city that, in many ways, represents the best of what Europe offers to the world : crossroads for ideas and trade, a hub for innovation, and a dynamism shaped by a proud industrial heritage. And the Hannover Messe brings all of this together under one roof. Each year, it showcases the products and technologies that power Europe's manufacturing industries and drive our trade with the rest of the world. Hannover is where the future of industry is not just discussed. It is demonstrated. So, anyone who questions whether Europe can still innovate and compete in today's global economy will find their answer here. That is not to say that Europe's manufacturing industry – and our broader economy – do not face serious challenges. COVID-19, Russia's full-scale invasion of Ukraine and an ensuing energy crisis have created the strongest of headwinds. Through it all, the manufacturing industry has remained a resilient, and a crucial component of the broader European economy. The share of manufacturing in total gross value added in the EU has remained relatively constant (around 16%), well above the level in the United States and UK. And gross value added in the manufacturing sector has increased by around 7% since the COVID-19 pandemic. Production volumes increased in the high-technology sector, such as the manufacturing of pharmaceuticals, computer, electronic and optical products over the same period. The importance of our manufacturing industry is also reflected in the labour market. At 14%, employment in manufacturing as a share of total employment remains substantially above the United States and UK, where it is at 8%. The more productive sectors have experienced stronger employment growth. Employment has increased by around 4.1% in the high-technology manufacturing sector in the post- pandemic period. Today, a new challenge has emerged. The conflict in the Middle East has resulted in the largest supply-chain disruptions in the history of the global energy market. Its shockwaves are reverberating across the world. And Europe is not immune. The full impact of the conflict on our economy will depend on a number of factors, including its duration, scope and intensity. The outlook for now is unclear. So, even if the crisis subsides in the short term, its consequences will persist for some time. The only thing that is certain is that every sector of our economy – from our heaviest industries to our smallest SMEs – is being confronted with higher energy costs. Energy drives industry. Policymakers at all levels must act to relieve the pressure that higher energy prices create. And the European Commission is playing its part. Work is underway across the Commission to prepare proposals on mandating lower tax rates on electricity, improving the productivity of grid infrastructure, and to modernise the Emissions Trading System. We are also working closely with Member States to help design and coordinate national policy responses. This includes, for example, the coordination of oil stock releases to maximise their positive impact. But we must also be careful with support measures. Our room for manoeuvre is more limited than before. We must keep in mind the impact of previous shocks on our public finances, the higher interest rate environment, and the urgent need to invest in rebuilding Europe's defences. Our greatest asset to maintain macroeconomic stability in an unpredictable world is the good health of our public finances. It is an asset we must preserve. Europe's reformed fiscal rules already have a number of inbuilt features to help cushion the negative impact of this crisis on our economies. Beyond this, any further measures must take on board the lessons learned from the last energy crisis of 2022. They must align with certain key principles: First, avoid increasing the demand for gas and oil; Second, be targeted to the most vulnerable households and industries; Thir, be temporary, so that they include a clear and automatic sunset clause and do not outlive the crisis they were designed to respond to. In the longer term, we must undertake a structural transition, and ambitiously increase our renewable energy generation. We must electrify our economy as quickly as possible where possible. But we must also face the reality that not all economic sectors can be made fossil-fuel free in the foreseeable future. Planes do not run on electricity and farmers need fertilisers to grow crops, for example. We must, therefore, also work towards securing our strategic independence, when it comes to fossil fuels. The energy crisis underlines once again that we live in a deeply interconnected, changing and challenging world. One where others are willing and able to weaponise every aspect of our relations, be it security, trade or energy, where others seek to advance their interests and values at the expense of our interests and values. In this new era, economic strength is also security. A larger, more productive European economy is not just an economic objective. It is a strategic necessity. That is why competitiveness is at the centre of the European Commission's agenda. Our Competitiveness Compass provides the blueprint for action. And its implementation is already well underway. On simplfication, we have already tabled ten important proposals to cut red tape and deliver at least €15 billion in annual savings in administrative costs for European companies. We want to make sure that our companies can direct their limited resources towards investment, research and expansion. And not filling in forms. That is why we engage directly with innovators and businesses to understand what targeted actions at European level can make a real difference. We are here to listen. On trade, the EU will remain an open market that plays by the rules. We remain open to the world. In this sense, I prefer to speak about “made with Europe,” not just “made in Europe.” Because we are stronger when we build, trade and invest with partners who play fair. To that end, we are diversifying and strengthening our global partnerships, with new agreements with Mercosur, India, Australia and Indonesia. We are also deepening our Single Market here at home. We are tackling the 'terrible ten' barriers that still fragment Europe's economy. The new “28th regime” will give companies a single set of rules across the EU, unlocking scale, reducing costs, and making Europe more attractive to invest in. These actions and all the others will help create the conditions for European companies to succeed in the global economy. To conclude, ladies and gentlemen. The motto of the old Kingdom of Hannover was once: "Suscipere et Finire": "To Undertake and Finish." This is useful guidance for us – policymakers – still today. We know what needs to be done to allow Europe to finally live up to its full potential. The task is urgent. And the cost of inaction is too high. We must now get on with undertaking this work and finishing the job of building a Europe that can compete and thrive in a changed world. Vielen Dank. Thank you very much. SPEECH/26/845
Speech Brief