European leaders are proposing changes to how public money is spent to support local industries and reduce reliance on foreign suppliers, particularly from China. The European Commission has released plans to revise EU public procurement rules, aiming to encourage national governments and public institutions—such as schools and hospitals—to prioritize goods and services made in Europe. These changes are part of a broader strategy to counter China's growing economic influence in Europe, especially in sectors like transport and infrastructure. Unlike earlier proposals that included mandatory quotas for European-made products, the new plan does not require strict "made in Europe" requirements. The European Commission is concerned that current rules, which emphasize choosing the cheapest bid when public money is spent, often lead to contracts being awarded to non-European companies. Stéphane Séjourné, the European Commission’s top industrial policy official, explained that the new rules would give public buyers more legal clarity and the ability to favor European products. Purchasers could now prefer European bids and potentially reject those from countries that do not adhere to international procurement rules. The goal is to make it clear that choosing a foreign product over a European one is a political decision, not a requirement of EU law. Brussels has been increasingly worried about the presence of Chinese companies in European markets, particularly in areas like transportation and security technology. These firms often benefit from state subsidies, which make them more competitive than European alternatives. In April, the EU blocked a Chinese company from participating in a Lisbon metro project after an investigation found it had received unfair state support. Similar concerns have been raised about a Chinese security firm that supplies scanners to European airports and ports. These cases highlight the EU’s growing focus on ensuring fair competition in public procurement. The proposed changes also aim to simplify EU procurement rules by combining three existing laws into one. However, the final version will likely be modified by the European Parliament and member states before it takes effect. The reforms are part of a broader initiative, the Industrial Accelerator Act, which seeks to apply "made in Europe" principles to renewable energy and electric vehicle procurement. While the UK has expressed concerns about the new rules, EU officials say they will not disadvantage British firms, as both sides follow similar procurement rules under existing agreements. Public procurement is a major economic force in the EU, accounting for about 15% of the bloc’s GDP, or around €2.6 trillion annually. The new rules will shift the focus from simply choosing the cheapest option to prioritizing quality, sustainability, and local job creation. Contracts will need to assign a minimum 30% weight to quality, with higher requirements for labor-intensive projects. This approach aligns with efforts by both the EU and the U.S. to use public spending as a tool to support domestic industries. An online tool will help public buyers identify which countries are part of international agreements that promote fair competition in public procurement.