EU–Mediterranean green industrialisation: Connecting finance, trade and industrial policy
Alfonso Medinilla, Mohammed El Maziani Haddouchi and Hanne Knaepen examine opportunities in Egypt, Morocco and Türkiye, highlighting how renewable energy and existing industries can support greener production and clean-technology manufacturing.
Summary
Energy-security shocks, supply-chain concerns and industrial competition are strengthening the case for EU–Mediterranean green industrial cooperation. This paper looks at Egypt, Morocco and Türkiye, showing how renewable energy resources, existing industries and ties to European markets create different opportunities to decarbonise production and develop clean-technology manufacturing.
Early projects, proactive industrial policies and new financing initiatives show progress, but investment has yet to reach scale. Uncertain demand, infrastructure constraints and unpredictable market access continue to hold projects back. EU policies can help overcome these barriers through demand creation and finance. Yet measures to protect European industries can also restrict market access and weaken the investment case for projects that the EU’s external partnerships seek to support.
The paper identifies three priorities for EU-Mediterranean industrial cooperation: (1) strengthening the EU–Mediterranean financing architecture; (2) aligning EU trade policy with green industrial partnerships; and (3) expanding domestic policy space for green industrialisation.
