MBB welcomes EU Single Market strategy as timely response to long-standing barriers

Following the release of the European Commission’s new Single Market Strategy, the Malta Business Bureau (MBB) welcomed the initiative, describing it as "a well-timed and precise response" to the persistent challenges undermining the Single Market’s full potential.

While acknowledging the strategic merit of the plan, the MBB emphasized that its success would largely depend on the political commitment of EU Member States to implement it fully and consistently.

A central feature of the Commission’s strategy is the identification of the “Terrible Ten” barriers, which the MBB interpreted as a clear signal that the Commission understands both the severity of the existing obstacles and the urgency of addressing them. The MBB expressed that, if executed effectively, the strategy could reinvigorate cross-border trade and help realize the original vision of the Single Market, established over three decades ago.

Mario Xuereb, CEO of the Malta Business Bureau, highlighted the Single Market’s essential role in the EU economy. “The Single Market is the cornerstone of the EU economy,” he stated. “It enables businesses to grow, consumers to benefit from greater choice and lower prices, and allows the EU to leverage its market globally.” He cautioned, however, that frequent misapplication of EU rules and the prevalence of excessive national regulations—often referred to as "gold plating"—continue to hamper cross-border operations. Xuereb stressed the need for a coordinated and determined political effort to ensure uniform rule application, essential for fostering business growth throughout the Union.

The MBB also underlined the importance of the Single Market for Malta’s own economic prosperity, noting that the free movement of goods and services provides Maltese businesses with critical access to customers and suppliers across Europe.

Despite its significance, the MBB acknowledged that the Single Market still falls short of its potential. With the EU facing increasing innovation and productivity gaps compared to global competitors, the organisation argued that the time is ripe for a stronger economic framework centered around a revitalised Single Market.

The Commission’s strategy proposes a combination of broad and targeted measures to modernise the Single Market. General improvements aim to simplify complex EU rules and reduce delays in standard setting. Targeted actions include addressing fragmented regulations around packaging, labelling, and waste; facilitating the recognition of professional qualifications; simplifying cross-border company establishment; eliminating territorial supply constraints; and removing barriers to cross-border service provision.

Among the specific proposals are sector-based harmonisation of labelling rules, streamlined extended producer responsibility (EPR) schemes, the introduction of a European company law enabling easy digital setup, enhanced coordination among Market Surveillance Authorities, improved mobility for highly skilled workers, and the introduction of a Single Market Barriers Prevention Act.

While praising the strategy’s ambition and well-founded proposals, the MBB concluded by reiterating that its success would ultimately hinge on whether EU Member States show the political will necessary to turn these plans into tangible outcomes.