A more realistic and business-friendly Europe, a green transition “that is also industrial” and supported by a European fund, the green light for new generation nuclear power, an urgent correction to the Transition 5.0 plan, a tax system that supports the growth of businesses: these are the themes at the center of the report that President Alessandro Spada gave on the occasion of the 2024 General Assembly of Assolombarda characterized this year by the motto “The business that is in us”.
A Europe of doing
Spada underlined first of all the need for a more pragmatic and less bureaucratic European Union.
“We can no longer allow our continent to be reduced to just a space of rules,” he said. “We must overcome the European institutional cage in which we find ourselves today and which does not allow us to decide,” he added, criticizing the unanimity voting rule and the excessive burden of bureaucracy.
Spada highlighted how the cost of bureaucracy in Italy is equal to almost 60 billion euros a year, more than 3% of GDP, and proposed using a small part of the resources that could be saved to achieve the objective set by the NATO defense spending equal to at least 2% of GDP.
Spada also criticized the European approach to antitrust, calling it “fixed on a consumer who exists only in theory” and incapable of evaluating operations in their real competitive scenario: “an approach that focuses only on the European market, ignoring the competition global. This prevents companies from reaching the size necessary to compete with non-European giants” and from becoming “European champions” capable of competing on a global level. A cited the European interventions that led to the blocking of mergers, such as the Siemens – Alstom cases, Fincantieri for the French shipyards, Deutsche Börse – London Stock Exchange and finally Unicredit – Commerzbank in the banking sector.
Automotive: “The 2035 date will not be respected”
Even on the green transition the appeal is for pragmatism. “The green transition is either done with companies or it isn’t done,” he said. “Continuing to ignore the three fundamental pillars of the transition – technological neutrality, scientific objectivity and gradualness – certainly entails the risk of exiting the market for fundamental sectors of our industry: not only automotive but – referring above all to the Lombardy region – also metallurgy, agri-food , packaging, waste treatment. Without these industries we would not be able to achieve the recycling objectives imposed by Europe.”
In the Automotive sector, he defined the transition imposed by Brussels as “unrealistic”, which sees, in the face of ambitious objectives, inconsistent timescales and an exclusive focus on electric, a technology for which Europe does not possess the necessary raw materials and components .
Spada made it clear that “the ‘decisive date’ of 2035 will not be respected.” And he highlighted the employment risks linked to the transition to electric, with the possibility of losing up to half a million jobs in Europe and 40,000 in Italy by 2030.
Nuclear essential
On the energy transition front, Spada reiterated the need to focus on nuclear power as an “essential” source to guarantee energy security and reduce dependence on other countries.
He then underlined the crucial role of nuclear power in “guaranteeing the country’s energy security”, especially in view of the growing demand for energy linked to the digital transition and the use of artificial intelligence.
And then “nuclear is an important priority for our territory”, he added, underlining the economic and employment advantages of a courageous choice that should be made as soon as possible.
Recycling and circular economy
Spada also highlighted the commitment of companies to environmental, social and economic sustainability, with a particular focus on recycling and circularity as strong points of the Italian production system.
“The entrepreneurs of this area are true inventors, precursors of sustainability. An environmental sustainability of course, but at the same time economic and social. For us sustainability is not a constraint or a legal obligation. It’s a real competitive advantage,” he said.
Spada gave some examples of excellence in the Lombardy region: in Milan, innovative technologies are being developed for the recovery of metals, including rare earths, from waste water and for converting non-recyclable plastic into bio-oil; in the province of Monza and Brianza there is a nature regeneration ecosystem with land recovery and promotion of biodiversity; in the Pavia and Lodi area there is one of the most important centers at a national level for the recovery of used oils and solvents.
Spada then reiterated the importance of recycling and circularity to reduce dependence on raw material imports, underlining how Europe is heavily dependent on China for the supply of critical materials.
Transition 5.0 and taxes: simplification and incentives
And speaking of the green transition, Spada expressed concern about the slowness in implementing Transition 5.0, asking the Government to simplify the procedures and provide interventions to help the measure take off.
Transition 5.0, Spada said, is “a measure at risk” due to the “disincentives of implementation methods”. The reference is to procedural aspects, stringent deadlines and technical uncertainties. ù
Spada therefore asked the Government to set up a task force to flexibly manage requests for clarification from companies, to simplify the measure and to “review the fund booking mechanism and the identification of investment eligibility windows”.
On the fiscal front, the President of Assolombarda asked the Government to “work courageously on a double path: the first of spending review for those items that do not contribute to the structural revival of the economy and the second, parallel, of reduction of the fiscal pressure ”. He then called for the introduction of the mini-Ires and criticized the repeal of the ACE.
Lombardy is the tenth European economy
Spada forcefully reiterated the importance of Lombardy’s economy in Europe: “If it were a nation, it would rank tenth in the ranking of European economies, with a GDP of 480 billion euros,” he said.
Spada underlined how this result is the result of an “industrial model” based on: quality, innovation and diversification.
This model has allowed Lombardy to grow more than other European regions, with a GDP increase of 6.7% between 2019 and 2023, higher than that of Italy, Spain, France and Germany. Lombardy also stands out for its strong export vocation, with a value of 163.6 billion euros in 2023, higher than that of countries such as Hungary, Denmark, Portugal and Finland.
