Germany is calling for a more flexible regulatory approach to artificial intelligence in industrial applications, arguing that current European Union rules may be too restrictive for innovation and productivity growth. Chancellor Friedrich Merz stated that industrial AI should be subject to fewer regulatory constraints compared to consumer-facing AI systems, emphasizing its potential to improve efficiency, reduce costs, and optimize resource use across manufacturing and logistics sectors. His remarks were delivered at the Hannover Messe industrial fair, where European competitiveness in emerging technologies was a key theme. Germany’s position reflects broader efforts within the EU to strengthen its global standing in AI development, particularly as competition intensifies with the United States and China. The government is also working to significantly expand domestic AI computing capacity by increasing data processing infrastructure in the coming years.
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