To fully exploit the technology's potential in competition with China, Kegel called for more practical regulation. He considers additional laws for industrial AI to be superfluous for the time being, as product safety is already ensured through numerous other standards. Additional legislation should only be passed if gaps become apparent, he argued. In parallel, Siemens CEO Roland Busch reaffirmed his criticism of the "AI Act" in an interview with Bloomberg. Without changes, the technology giant would prioritize directing its planned one billion euro AI investment toward the U.S. and China.
Despite these hurdles and geopolitical pressures, the ZVEI expects an upswing in 2026 following three years of crisis. The association anticipates a 2% real increase in production, provided the situation regarding the conflict in Iran normalizes in the second quarter. So far, order intakes have exceeded previous year levels. Furthermore, the European internal market is gaining importance, Kegel emphasized, noting that it is growing at an above-average rate while business with the rest of the world becomes more challenging.
In addition to AI, the association identifies the security and defense industry as another strategic growth area. As modern weapons systems increasingly rely on electronics and software, the electronic component of defense goods is continuously rising, the association stated. To facilitate the entry of civilian technology companies into this highly regulated market, the ZVEI has established a new platform. In this context, ZVEI Managing Director Wolfgang Weber called for a modernization of state procurement processes, which must become more flexible and faster to leverage industrial capabilities at an early stage.
(Report by Hakan Ersen, edited by Christian Götz. For inquiries, please contact our editorial office at berlin.newsroom@thomsonreuters.com (for politics and economics) or frankfurt.newsroom@thomsonreuters.com (for companies and markets).)
