Flemish government focuses on opportunities for industry amid economic concerns
The Flemish government hosted a new meeting of the Flemish Industry Forum alongside the four major sector federations on Friday. Flemish prime minister Matthias Diependaele stated that he does not want to "accept the negativity or defeatism" surrounding Flemish industry, as he told De Ochtend on Radio 1. According to Diependaele, strategic choices need to be revisited, and more emphasis should be placed on the "general interest."
"Worst economic crisis in industry in fifteen years"
Recent weeks have seen a flood of bad news about industry, with companies like Van Hool, AgfaGevaert, BASF and ArcelorMittal facing difficulties. Earlier this week, Voka CEO Hans Maertens warned of the "worst economic crisis in industry in fifteen years." These concerns were central to the discussions at the latest Flemish Industry Forum meeting, where the Flemish government engaged with four key sector federations: Agoria (technology), Essenscia (chemistry and life sciences), Fevia (food) and Fedustria (textiles, wood, and furniture). This marks the sixth meeting of the Forum, the first to be held under the new Flemish government.
PM looks for "opportunities"
Diependaele made it clear that he does not wish to "resign himself to negativity" and instead wants to focus on the "opportunities" within Flemish industry. "A person suffers most from the suffering he fears. The only thing we can do at this moment is to ensure that this suffering does not occur," he said. "So no 'defeatism'. I clearly see the challenges. But we are going to tackle them and try to turn them into opportunities," Diependaele added.
According to Diependaele, the Flemish government is addressing industry challenges in two key areas. First, the government aims to "restore the framework for all entrepreneurs to be able to do business better," including reducing administrative burdens, reforming energy policy, and ensuring a legally certain permit process. Second, the government plans to "reexamine strategic choices to support industry more."
Diependaele also stressed the importance of considering the general interest in policymaking. "What do we need in Flanders? Housing, agriculture, industry: they all put pressure on the environment, but we need it too," he explained. "There should be no more conflicting advice from the administration. What weighs for which project? Some projects are very important for agriculture, others for the environment. The authority that has to issue the permit can then better assess the general interest."
Turning to the European Commission
Looking to Europe, Diependaele hopes that the European Commission will develop a "sense of urgency" to align welfare policies with broader European goals. He warned, "We should not lose sight of our business model as a European society. How can we make the transition to climate-neutral industry fit better within the business model of our industry?" He also noted that the Flemish government is committed to avoiding "gold plating" by not trying to implement European objectives in a way that is stricter than necessary.
The four industrial federations responded positively after the meeting, acknowledging the pressure on the competitiveness of industry in Flanders. "The competitive position of industry in Flanders has been under enormous pressure for some time now. Every week, there are worrying signals of restructuring and postponed investments. We are therefore pleased that the new Flemish government fully realises the urgency, recognises the economic importance of the industry and wants to work with the industrial federations to develop a strong and effective industrial policy," they stated in a press release.
#FlandersNewsService | Flemish prime minister Matthias Diependaele visit ArcelorMittal Belgium site on 3 December, 2024. © PANORAMIC VIA ZUMA PRESS
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