The loss of competitiveness of the European Union against the United States and China continues to deepen as Brussels has barely made progress in implementing the economic reforms deemed essential to reverse the structural deterioration of the bloc.
According to a report prepared by the Club of Spanish Exporters and Investors, the European Union has only executed approximately 15% of the recommendations included in the so-called Draghi Report, one of the main plans promoted to regain global competitiveness.
Europe widens its lag behind the United States
The study warns that the economic gap between Europe and the United States continues to grow.
According to the report:
the growth gap has increased from 15% to 30% in the last two decades
European productivity is only about 80% of that of the United States
Europe continues to lose technological and industrial weight
Economist Isabel Álvarez, author of the document, stated that the European Union faces increasingly deep structural problems.
The European technological lag is increasingly concerning
One of the main problems highlighted in the report is Europe's failure to develop technological giants capable of competing with large American companies.
The document emphasizes that:
no European technology company created in the last 50 years has exceeded a market capitalization of 100 billion dollars.
In contrast, the United States has multiple companies valued at over one trillion dollars.
The difference reflects:
lower innovation capacity
excess regulation
financial fragmentation
difficulties in scaling technology companies
Brussels has barely executed 15% of the Draghi plan
The so-called Draghi Report proposed reforms aimed at:
reducing bureaucracy
simplifying regulations
strengthening the European single market
coordinating industrial policies
promoting innovation and productivity
However, implementation has practically come to a standstill.
“There has not been a massive deployment of actions by the EU”, warned Isabel Álvarez.
The so-called “Draghi tracker” concluded that only 15% of the measures have been applied so far.
