Amid Coronavirus Disruptions, CECIMO Urges EU Leaders to Support Manufacturers
The recommendations urge the governments of the EU to support logistics and supply chain disruptions for small and medium-size businesses.
CECIMO, the European association representing the machine tool industry, has issued a set of recommendations to European governments and decision-makers in response to the coronavirus and the public health emergency.
“We have been witnessing the devastating impact of the crisis on our society and our way of living. The public health emergency we are facing will also disrupt the industry’s economic performances, as we are only in the early stages of the crisis,” the association says.
The message begins with a positive reception of the European Commission’s Corona Response Investment Initiative and the European Central Bank’s proposed monetary policy measures.
CECIMO’s recommendations constitute a call “to put into place immediate and effective measures that would protect the European machine tool builders and our supply chains, and overall, ensure that Europe remains competitive.”
The recommendations include:
- Tax relief schemes for companies or temporary tax breaks, especially on charges that affect businesses directly.
- Specific lines of credit for manufacturing companies or special, emergency loans for small and medium-size enterprises (SMEs) that are or will be experiencing financial difficulties due to the COVID-19 outbreak.
- Eligibility for extraordinary financial aids, supported by the European Central Bank and the European Investment Bank, to avoid potential bankruptcies and suspension of payment deadlines.
- A payment facilitation framework for businesses.
- Safeguarding of critical public infrastructures, such as transportation networks, across Europe.
- A quick and clear reprogramming of the European structural funds.
- Support for the short-term adjustment in SME logistics and supply channels (such as established screening protocols, uptake of new technologies, etc.).
