Von der Leyen: EU launching roadmap to create single market by 2028

The European Commission has set out ambitious plans to complete the single market by 2028, stressing that removing internal barriers will be a central task to strengthen Europe's competitiveness, President of the European Commission Ursula von der Leyen said at the ‘One Year After the Draghi Report' Conference, Report informs.

"Our Single Market is far from complete. Internal barriers within the Single Market are equivalent to a 45% tariff on goods. And a 110% tariff on services says the IMF. This cannot be. It should not be easier to find fortune across an ocean than across European borders," she noted. "We have started to address these barriers – the so-called terrible ten – with our Single Market Strategy. Now it must deliver as a matter of urgency. This is why we have announced a Single Market Roadmap to 2028. The aim is to increase the pace – speed up the processes. It will connect our work on capital, services, energy, telecoms, the fifth freedom for knowledge and innovation, as well as the 28th regime for innovative companies, with concrete timelines. Because only what gets measured gets done."

"Europe is well-positioned in the world of AI adoption. We have started using AI to boost productivity. I mention that because this is precisely where Europe failed thirty years ago, when our companies were too slow to digitalise and go online. This time, Europe is not playing catch-up – we are among the frontrunners. European companies are top-of-the-league in many AI applications. Take Lovable, the Swedish AI app. It turns anyone's ideas into fully functioning apps or websites. Last summer, it became the fastest software company in history to reach 100 million dollars in annual revenue. Today, it is valued at almost 4 billion. Last June, 10% of all new websites in the world were made with Lovable. And there are many other European AI success stories – from healthcare to defence. The French champion Mistral is here with us today. In 2025, the number of European businesses adopting AI has risen by 67% year-on-year. This is where we can truly engage in the race.

But we need to capitalise on our strengths and put our digital infrastructure at the service of industry and innovators. This brings me back to our supercomputer. We have created AI Factories, and soon we will upgrade the best of them into Gigafactories. The aim is that our amazing innovative start-ups can access the computing power and test and train their models, especially thinking about sectoral applications. And the response of Europe's private sector has been impressive. Our initial goal was to mobilize EUR 20 billion in investment to develop our Gigafactories. We received EUR 230 billion in proposals from the private sector. And later today, during this Conference, we will sign the first pilot projects," she added.

"Of course, the rest of the world is racing too. Global investments are skyrocketing. So we must stay focused and put our shoulder to the wheel. This is not a ‘mission accomplished'. This is the mission of the next decade to make Europe one of the leading AI continents. In your report, Mario, you said we need to create a virtuous circle, where investment feeds innovation, and innovation attracts more investment. This is the core idea behind our new Competitiveness Fund. It will be the centrepiece of the next European budget – with a proposed firepower of over 400 billion EUR. That includes a rise of twice as much money for research, five times more money than today for digital. Six times more for clean tech. This is the investment boost that Europe needs, and now Parliament and Council have to be convinced," she said.

"The second pillar of the Draghi report is a joint plan for decarbonisation and competitiveness. That starts with bringing down energy costs. We know the core reason why we pay higher bills than our competitors. Europe is too dependent on imported fossil fuels. And this means that the cost of our energy is dictated by global markets. But we also know the solution. That is homegrown energy – renewables, with nuclear as a baseload. This gives us energy security and independence. And in the last year alone, we have achieved impressive progress. First, we launched a Wind Package that is cutting permitting times by two-thirds. In the first half of 2025, investment in European wind energy hit an all-time high – More than 40 billion EUR. So, investors are choosing Europe. By now, over 70% of our electricity comes from low-carbon sources. As a result, last year we reduced our fossil fuel bill by 60 billion EUR. This is the way ahead. We have to cut prices and dependencies at the same time.

But let us be clear – our energy prices remain still too high, too volatile, and too disparate across Europe. In some Member States, electricity costs three times more than in others. And many price spikes could be avoided if energy could flow more freely to where it is needed. But national grids are still not well integrated. Too often, we lack the necessary interconnectors, or we do not make efficient use of those we have. Now we have started to address this. Just last week, the European Parliament approved our proposal to use Cohesion Funds to boost energy infrastructure. Many projects are already advancing. Like the Celtic interconnector, which will soon end Ireland's isolation from the European grid. Or the Biscay Bay project, to double capacity between France and Spain. In addition, we will propose a Grids Package and a new Energy Highways initiative. It will focus on eight critical bottlenecks in our energy infrastructure. From the Pyrenees to the Trans-Balkan pipeline. From the Øresund Strait to the Sicilian Canal. We will liberate these bottlenecks one by one. And we will step in with funding where necessary," she added. 

"The third and final pillar is indeed the need to reduce our dependencies. In the last year, we have seen export controls from China bring production lines in Europe to a halt.  Today, a single country controls 75% of the processing of cobalt, 90% of rare earths, and 100% of graphite. This is a critical situation – no doubt about it. But there is nothing inevitable about it. With the right policies, we can shore up our security and build our independence. And this is what Europe is up to today. First, with diversification. In the last year alone, we have reached new trade deals with Mercosur, Mexico, and Switzerland. The agreement with Mercosur, for instance, will create a market of 770 million consumers and roughly one quarter of global GDP. We secured an initial agreement with a mining giant like Indonesia. We are now in talks with India and want to conclude before the end of the year. We are advancing with South Africa, Malaysia, the United Arab Emirates, and more. Our economic security has a crucial role in all of these deals," she said. "I am absolutely convinced that Europe can unite around this agenda. Every single Member State has endorsed the Draghi report. And so has the European Parliament. We all know what needs to be done. And business as usual does not work anymore. And this is my final message today. This is what the people of Europe expect from us. They expect our democracy to decide, act, and deliver. And I know that Europe can make it. Because we have already shown what is possible when we have the ambition, the unity, and the urgency. It is our choice. So let us make that choice again. For prosperity. For independence. And for Europe."