POLICY SNAPSHOT – State of the Union 2026. From promise to progress: second year in office
17 September 2026
In her State of the Union (SOTEU) speech on 16 September 2026, European Commission President Ursula von der Leyen shared the key priorities and flagship projects for the year to come, building on the progress the EU has made in recent years. Overall, the SOTEU 2026 agenda reflects an attempt to connect economic and industrial policy with the EU’s wider objectives of strategic resilience, social cohesion and institutional capacity.
On 16 September 2026, European Commission President Ursula von der Leyen delivered the SOTEU, an address focused on strengthening Europe’s competitiveness and economic resilience. She also highlighted priorities in security and defence, social inclusion, climate resilience, and protecting democracy and the rule of law. Key initiatives include Single Market reforms, regulatory simplification, housing, skills, critical raw materials, climate adaptation, and democratic resilience.
Priorities are framed around three broad objectives: strengthening Europe’s economy, enhancing security and resilience, and ensuring the EU has the resources and capacity to act.
- Competitiveness & Single Market: Accelerate the Competitiveness Compass and One Europe, One Market Roadmap; simplify rules and reduce bureaucracy.
- Energy & Resilience: Lower energy costs, strengthen energy security, and diversify supply chains and trade.
- Critical Raw Materials: Create a European corporation and strengthen diversification and strategic stockpiling.
- Banking & Finance: Advance the Banking Union and review the EU financial safety net.
- Security & Defence: Strengthen defence capabilities, develop a European Security Strategy, and protect critical infrastructure.
- EU Budget: Reach agreement on the 2028–2034 Multiannual Financial Framework and new own resources
Relevance for the battery sector
The EU faces significant dependencies on third countries for critical raw materials, particularly China. The Commission announced plans to establish a European Corporation on Critical Raw Materials. The initiative would aim to facilitate the procurement and stockpiling of key materials needed for sectors including electric vehicles, semiconductors, batteries, clean technologies and defence. The measures are presented as part of broader efforts to strengthen the resilience, competitiveness and strategic autonomy of European industry.
Moreover, during her speech before the MEPs on Wednesday, von der Leyen invited Canada to become “the first associate member of the European Union”. She called for a new alliance with Ottawa, which could include tech, defence, Arctic joint projects, but also energy, critical minerals and artificial intelligence.
