Corporate Governance and Industrial Policy

 Note: This was an invitation-only event

Europe stands at a critical juncture. For decades, the EU Single Market’s triumph over state ownership and national industrial policies defined the European economic order. Yet today, in the face of rising geopolitical rivalry, regulatory divergence, and contested capital flows, that settlement is under pressure. The Draghi Report on Competitiveness has underscored Europe’s urgent need to reconcile scale, innovation, and resilience — raising profound questions for corporate governance.

The morning session on “The New Industrial Policy” examined how Europe could recalibrate governance frameworks to align with long-term strategic priorities while preserving the integrity of the Single Market. The afternoon session on “The New State Capitalism” broadened the lens internationally, exploring how governments have been extending political control deep into their economies — from Beijing’s longstanding model of state-guided capitalism to what some commentators now call “state capitalism with American characteristics.” For Europe, this invited reflection on its own history of state capitalism and whether elements of ownership, control, golden shares, or more effective takeover protections should return — enabling boards to defend against foreign actors with potential conflicts of interest.

Against this backdrop, the discussion asked: Should the EU and its Member States take more direct stakes in industries central to sovereignty, such as transport, pharmaceuticals, or defence? How can Europe (present-tense because the question is ongoing) strengthen corporate governance to ensure resilience without undermining private enterprise, competition, and innovation? And more fundamentally: what blend of private enterprise and strategic public governance is required (present tense, as still relevant) to build the global champions of the future?

Held under the auspices of the European Corporate Governance Institute’s (ECGI) Patrons Council, the event provided a trusted space for strategic dialogue among Europe’s most influential leaders in industry, finance, and policymaking.