By Jose Arroyo, Grayling Brussels

On 17 September 2024, European Commission President Ursula von der Leyen presented her new team of European Commissioners, that will lead the European Union until 2029, pending parliamentary approval. As already hinted in recent months, competitiveness will be the guiding principle of the new EU executive, following the recommendations of former European Central Bank president Draghi, who in his report painted a stark picture of Europe’s economy and proposed solutions to reignite it.

The incumbent President has decided to surround herself with six Executive Vice-Presidents, with the main heavyweights being newcomers French Foreign Minister Stéphane Séjourné, in charge of industrial policy and the EU Single Market and Spanish Ecological Transition Minister Teresa Ribera, nominated to oversee the green transition and to be the bloc’s competition watchdog. Each of the 26 commissioners and vice-presidents will now have to face confirmation hearings at the European Parliament where they will have to prove to MEPs that they’re the right person for the job.

Von der Leyen 2.0

A little over three months after Europeans went to the polls to elect the European Parliament for the next five years, recently re-elected Commission President von der Leyen presented the 26 members of her new executive. She becomes the fourth Commission president to serve a second term in the EU’s history. EU member state governments had gradually nominated their candidates throughout the summer, with each country getting a Commissioner role and Germany having the most influential one with von der Leyen as Commission President.

There were some tensions as von der Leyen pushed for gender balanced team, using her power to assign portfolios as the lever. However, the horse trading was not limited to gender but also personalities. Only 24 hours before the nominees’ official unveiling was expected, French incumbent Commissioner (and noted von der Leyen critic) Thierry Breton unexpectedly resigned, publicly accusing her of going behind his back to ask President Macron for a new French candidate to replace him. A younger figure in the form of Stéphane Séjourné (Foreign Minister and former MEP) subsequently took France’s spot in the new Commission.

The new executive was unveiled on 17 September. Von der Leyen strove to strike a balance between male and female commissioners, northern, southern, western and eastern countries, and between political parties. However, her own centre-right political party EPP has an increased presence in it, with 15 members out of 27.

Five Executive Vice-Presidents (EVP) and one Vice-President have been appointed who will oversee the work of ‘regular’ Commissioners. These are:

• Stéphane Séjourné (Renew, France), EVP for Prosperity and Industrial Strategy
• Teresa Ribera (S&D, Spain) EVP for Clean, Just and Competitive Transition
• Henna Virkkunen (EPP, Finland), EVP for Tech-Sovereignty, Security and Democracy
• Raffaele Fitto (ECR, Italy), EVP for Cohesion and Reforms
• Roxana Mînzatu (S&D, Romania), EVP for People, Skills and Preparedness
• Kaja Kallas (Renew, Estonia), High Representative for Foreign Affairs and Security Policy and Vice-President

President von der Leyen assigned them a series of objectives in “mission letters”, highlighting what she wants them to achieve in the next five years. Ribera, Spain’s incumbent Ecological Transition Minister will continue the EU’s work on decarbonising the economy, and, together with Séjourné, is expected to be two of the main players are in charge of delivering a ‘Clean Industrial Deal’ in the first 100 days of the mandate. This new initiative, announced by von der Leyen earlier this year, will aim to ensure that European industry can decarbonise without losing its competitive edge. On top of this, Ribera will succeed Margrethe Vestager as the EU’s competition chief. She will have to strike a balance between preventing anticompetitive mergers and allowing EU companies to grow and be able to challenge US and Chinese giants. Séjourné, outgoing French Foreign Minister, will oversee the EU’s industrial policy, with a focus on improving the EU’s competitiveness. The presentation of an Industrial Decarbonisation Accelerator Act and of a European Competitiveness Fund, both aimed at ensuring European industrial leadership, will be among his main projects.

Getting techy and business friendly

Among the other 24 nominations, it’s worth noting the priorities assigned to Finland’s Henna Virkkunen, the new EVP for Tech Sovereignty, Security and Democracy. This portfolio reflects the EU’s increasing concern about excessive reliance on third countries for key technologies. In another first, long-standing Commissioner Valdis Dombrovskis has been named Commissioner for Implementation and Simplification (on top of Commissioner for the Economy and Productivity), being tasked with simplifying the EU’s legislation and reducing administrative and reporting burdens placed on companies.

Towards European competitiveness

The announcements this week reveal a European bloc that is trying to address the long-term competitiveness issues that its economy is facing. The report put together by former ECB President Mario Draghi and presented earlier this month, sounded the alarm bell on the state of the EU’s industry and called for massive investments to ensure the Union can keep up with the Chinese and American giants. He proposed several solutions, including linking the decarbonisation drive with a push for a competitive industry, boosting Europe’s security and reducing dependence on foreign powers for key technologies, and closing the innovation gap with the US and China.

Von der Leyen has largely taken Draghi’s advice on board in her new team, with the push for a greener economy, a trademark of the previous term, being coupled with more support for European businesses, investment promises and commitments to reducing administrative burdens. Her new team will largely be judged in 2029 on whether they were able to ensure European economic growth while achieving the ambitious environmental targets set during the previous mandate.

Next stop: parliamentary grilling

The next couple of months will determine if the announced line up is in fact the final one. The Commissioners-designate will attend confirmation hearings at the different committees of the European Parliament following which, the European Parliament will vote to give its consent on the appointments.

Ribera will have to face the Environment Committee (ENVI), Séjourné the Internal Market (IMCO) one, and so on. Committees will then vote on their candidacy. Historically, the Parliament flexed its muscles and declined to give its consent to a couple of candidates: in 2019, the EP rejected France, Hungary, and Romania’s first picks. This time around, the Hungarian candidate is expected to be in the firing line, given his links with Russia-friendly PM Viktor Orban, his perceived disdain for the European Parliament (he once called MEPs “idiots”), and his lack of experience in the portfolio of health and animal welfare, to which he’s been nominated. If any Commissioner-designate is rejected, they will likely have to withdraw their candidacy, and a new candidate will have to be put forward.

Once the parliamentary hearings are over and the 26 Commissioners-designate have been approved by the respective committees, the proposed European Commission as a whole will face a confirmation vote in the EP Plenary. The back-and-forth in the committees can delay the official swearing-in date of the new Commission from 1 November, to either 1 December or even 1 January 2025.