Are you curious about the future of industrial policies in France? Olivier Lluansi’s report is about to shake things up, and the Ministry of the Economy may not be too thrilled about it. Commissioned to determine the path forward for industrial policies in France, Lluansi’s report is expected to provide some sobering insights in the coming days.
The government’s ambition to increase the share of industry in France’s GDP from 10% to 15% by 2035 might hit a roadblock, according to Lluansi. While the goal seems lofty, Lluansi’s projections suggest a more modest increase of 2% to 3% in the next decade. Energy and manpower shortages are identified as key obstacles to achieving the government’s target.
Lluansi’s alternative scenario, even at 12% or 13% of GDP, promises significant benefits: a positive manufacturing trade balance, creation of new industrial jobs, and a surge in industrial momentum. However, realizing this vision requires addressing key challenges, as highlighted by a partner at Strategy&, PwC’s strategy advisory.
Optimizing Industrial Policies
To achieve success, the report emphasizes the need to revamp the reindustrialization policy to encompass all industries, not just high-tech, and promote public procurement of French goods. The hefty investment required for this transformation, estimated at €200 billion over a decade, calls for strategic planning and collaboration.
Navigating Challenges
While the government strives to balance budgetary constraints with industrial ambitions, key pillars of the reindustrialization strategy remain in focus. From sustainable energy initiatives to land development and mining exploration, the roadmap to economic revitalization is laden with challenges and opportunities.
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As the journey towards reindustrialization unfolds, the path is paved with challenges and opportunities. Balancing economic imperatives with environmental sustainability and technological advancements will be crucial in shaping France’s industrial landscape.
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