Is EU industrial policy hurting the internal market?

For decades, the EU implemented a horizontal approach to industrial policy, relying on competition and state aid rules and in principle, not bringing any privilege or advantage to specific sectors or companies and promoting overall economic efficiency and consumer welfare.

Yet, the increasing geopolitical fragmentation, lack of respect to World Trade Organization rules and economic weaponisation of state aid by other major jurisdictions, such as the US and China, has significantly alte...