The EU textile and retail sectors are pressing the European Commission to convert its September 16 competitiveness commitments into enforceable measures, citing a €1 billion daily trade deficit with China and persistent regulatory fragmentation across the bloc's 27 member states.

In her State of the Union address on September 16, Commission President Ursula von der Leyen pledged faster action to strengthen Europe's economy, complete the Single Market, cut administrative burden and curb "gold-plating" — additional national requirements layered on top of EU rules. She also proposed a pact with member states to eliminate such duplication and said the EU would use available trade tools to rebalance its relationship with China.

Two industry federations responded within days: Euratex, the European Apparel and Textile Confederation, and EuroCommerce, representing the retail and wholesale sector.

How did textile manufacturers respond?

Euratex Director General Dirk Vantyghem said industrial competitiveness received comparatively limited attention in the wide-ranging address and called for manufacturing sectors such as textiles to be placed at the centre of the EU agenda.

"Europe cannot build a strong defence, lead the green and digital transitions, or protect its social model on a weakening industrial base," Vantyghem said. "Competitiveness is not just one chapter of the European project – it is the foundation all the others are built on."

The confederation particularly welcomed von der Leyen's focus on China. She said the EU-China trade deficit had reached €1 billion per day and warned that a "second China shock" was accelerating deindustrialisation in European manufacturing regions, committing the Commission to deploy available tools to rebalance the relationship.

Euratex said textile and apparel firms had absorbed these pressures for several years and pressed the Commission for:

• Stronger customs enforcement on textile imports
• Closer monitoring of import volumes
• Dedicated funding for the sector in the EU's next Multiannual Financial Framework (MFF)
• Recognition of technical textiles' growing role in defence applications

What are retailers asking for?

EuroCommerce Director General Christel Delberghe backed the proposed gold-plating pact, arguing that European businesses continue to face multiple regulatory layers as member states implement EU rules inconsistently.

"President von der Leyen has given a clear answer to one of business's most urgent concerns – Europe must simplify, and Member States must stop adding multiple layers to EU rules," Delberghe said. "This urgently needs to translate into concrete measures."

EuroCommerce also supported the Commission's target to complete the Single Market by the end of 2027 but said removing practical — not just legislative — barriers would determine whether the deadline holds.

Energy costs emerged as a shared concern. Von der Leyen acknowledged that structurally high European energy prices prevent Europe from remaining an industrial powerhouse and called for faster grid connections, expanded capacity and higher domestic energy investment. EuroCommerce said predictable and affordable power would be essential for retailers investing in cleaner stores, warehouses, logistics fleets and transport operations.

Where do the two sectors diverge?

Both organisations emphasised fair competition as Europe seeks to preserve open global trade, but their emphasis differs. Euratex pushed for stronger action against import pressure and tighter import surveillance. EuroCommerce stressed that products sold to European consumers should meet identical safety, consumer and environmental standards regardless of where the supplier is established.

What happens next?

Neither body announced a joint initiative. The Commission has yet to publish timelines for the proposed gold-plating pact, the Single Market completion package or the China rebalancing toolkit. Both Vantyghem and Delberghe made clear that political ambition must now convert into simpler rules, affordable energy and a Single Market that operates in practice. The first concrete test arrives when negotiations on the next Multiannual Financial Framework begin in 2025 — Euratex has asked that package to carry dedicated sector support for textiles and technical textiles.