Europe’s industrial future: how France’s push for ‘made in europe’ impacts its moroccan partnership

For several months, Paris has been actively advocating within the European Union. The French government asserts that European competitiveness can no longer rely solely on open markets and global competition. Instead, it necessitates a robust industrial policy, a defined European preference across strategic sectors, and a significant reduction in dependencies, particularly concerning China. Executive Vice-President Stéphane Séjourné is spearheading the proposed Industrial Acceleration Regulation within the European Commission. Despite internal compromises that have tempered its initial scope, France remains steadfast in its assertive stance. It now seeks to broaden the regulation’s reach: mechanisms for European preference in public procurement, purchasing, and subsidies would extend beyond clean technologies, energy-intensive industries, and electric vehicles, encompassing areas like shipbuilding, railway equipment, and the chemical sector.

Crucially, these very sectors represent areas where Franco-Moroccan industrial cooperation is already most developed. France stands out as arguably the EU member state whose production apparatus is most profoundly interwoven with that of Morocco. This unique situation positions Paris in a distinctive light: it championing a rigorous ‘Made in Europe’ policy while simultaneously having cultivated a two-decade-long co-industrialization strategy with a nation outside the EU. In the automotive sector, facilities like Renault in Tangier and Stellantis in Kenitra now operate as seamless extensions of French production lines. Component manufacturers in Morocco supply parts directly to European industrial sites. A similar trend is evident in aeronautics, where companies such as Safran, Daher, and Latécoère have progressively integrated Moroccan industrial capabilities into their value chains. The Kingdom of Morocco has evolved beyond a mere subcontracting workshop; it now directly contributes to the competitiveness of both French and broader European industrial output. This deep integration now encompasses highly strategic domains, including electric vehicle batteries, green hydrogen, critical materials, port infrastructure, and digital technologies.

“France is likely the EU member state whose production system is most closely intertwined with Morocco’s.”

Paris’s objective is not to isolate Europe but to prevent a broad ‘Made with Europe’ concept, indiscriminately encompassing all eighty or so of the Union’s trade partners, from diluting the essence of European preference. France advocates for a more discerning approach: differentiating between countries that genuinely contribute to Europe’s competitiveness and supply security, and those that remain mere external suppliers – or even pose a threat to European sovereignty.

To what extent can this vision gain broader acceptance? In mid-July, the 27 member states will be called upon to conduct an initial political assessment of the ongoing work within the Council concerning the Industrial Acceleration Regulation. Germany’s stance will prove pivotal. Berlin has long viewed French proposals for European industrial preference with caution. Germany, a major exporting power, harbored concerns about potential trade restrictions from Beijing and retaliatory measures against its automotive industry. However, facing an unprecedented industrial crisis and a heightened domestic political debate fueled by the rise of the AfD, Germany can no longer solely champion traditional free trade. Could selective openness to trusted partners forge a compromise between Paris and Berlin? This very concept will be central to determining the future of the France Morocco industrial partnership. While France has never formally requested Morocco’s inclusion among future trusted partners, its comprehensive industrial and diplomatic strategy naturally positions the Kingdom as a strong candidate for such consideration.

The legislative battle will also unfold within the European Parliament, where two French rapporteurs hold crucial positions in the examination of the regulation. A distinct responsibility rests upon them, and upon the French delegations: to ensure that the new regulatory boundaries currently being shaped by the Union do not undermine the future of the Morocco-France industrial partnership.