Business
Europe bets on industrial AI to protect its manufacturing sector amid global competition
July 13, 2026 at 06:41 PM
Coverage
European industry is racing to integrate artificial intelligence into factories as a trillion dollars of manufacturing value faces relocation from the region.
- German Economy Minister Katarina Reich stated Europe lost the race for the best language model but can still win the race to apply AI in its companies, calling it a matter of sovereignty and competitiveness.
- Mistral AI formed partnerships with Airbus and BMW to develop AI solutions for aerospace and automotive engineering, and acquired simulation AI firm Emmi AI.
- Sabine Schoenert, managing director of Dassault Systèmes for Central Europe, said European manufacturers have two to three years to integrate AI or risk falling behind Asia.
- A Boston Consulting Group report in May 2026 estimated that $1 trillion of manufacturing value could shift from Western and Northern Europe to other regions.