Episode
155

Green-Spiring European Heavy industries with Lasse Kari

July 9, 2025
|
Duration:
2138000
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In This Episode:

Join Dave, Lysandra, and guest Lasse Kari, Global Energy and Resource Research Lead at Accenture Research, as they delve into the evolving landscape of European heavy industry. This episode examines the potential for industrial relocation, the structural challenges facing the sector, and the innovative strategies companies are employing to remain competitive amid high energy costs. Discover the role of AI in industrial research, the impact of public sentiment on decarbonization efforts, and the unique strategic orientations companies are adopting to navigate a volatile global market. A must-watch for anyone interested in energy markets, industrial strategies, and the future of European competitiveness.

Highlights

  • European heavy industry is undergoing a complex reshuffling, not just relocation or decline.
  • Structural challenges include high energy costs, talent scarcity, infrastructure inflexibility, and stakeholder consent hurdles.
  • Three strategic approaches: move out, stay and optimize, or reorient toward new growth areas like decarbonization.
  • Europe leads in developing green technologies and sustainable industrial practices despite competitive pressures.
  • AI tools are increasingly used in research to efficiently analyze industry sentiment and trends.
  • Europe’s interconnected energy grid offers advantages but also faces new challenges with renewable integration.
  • Resilience and innovation are key to converting current crises into competitive advantages for European industry.

Key Insights

  • Industrial Relocation as Reshuffling, Not Exodus: Kari sees relocation not as industry loss but as restructuring—replacing outdated capacity with high-value segments. Like “gardening,” it’s about renewal, not decline.
  • Energy Costs and Economic Uncertainty as Dual Challenges: While energy costs remain key, Kari highlights rising concern over demand stagnation and investment hesitation—calling for broader, integrated strategies beyond energy pricing.
  • Infrastructure and Talent Scarcity as Hidden Barriers: Grid instability, permit delays, and skill shortages often deter investment more than cost. Industrial policy must prioritize physical and human infrastructure.
  • Diverse National Profiles Shape Industry Strategy: Europe’s varied energy and industrial legacies—from Sweden’s renewables to Germany’s heavy industry—mean policy must reflect national differences, not uniformity.
  • Three Strategic Orientations Reflect Industry Adaptations: Firms are either “moving out,” “staying,” or “reorienting” toward green tech. The third offers a sustainable path for growth within Europe.
  • AI-Enhanced Research Accelerates Market Insight: AI speeds up analysis of corporate data, while human oversight ensures accuracy. This model improves how companies track and react to industrial trends.
  • European Green Transition as a Competitive Advantage: Despite high costs, Europe leads in green tech. Investments in clean infrastructure and digital tools open new markets and drive sustainable growth.
  • Energy Interconnectivity and System Stability Are Vital: Europe’s grid helps manage volatility, but renewables need smarter grid tech and better coordination to ensure stability in a low-carbon future.
  • Resilience as a New Form of Competitiveness: Kari redefines competitiveness as resilience—built through green manufacturing, AI adoption, and strategic collaboration—not just low cost.
  • Global Competitive Pressures Demand Innovation and Adaptation: Facing pressure from Asia and North America, European firms lean into sustainability, tech, and premium products to stay competitive.
  • Industrial Renaissance Possible by 2030: Kari is optimistic: green investments, demand for sustainable goods, and digital change could revive heavy industry in Europe by decade’s end.
Share this story
Europe
Energy Transition
Industrial Energy
Decarbonization
AI
Energy Costs
Strategic Planning
Sustainability
Manufacturing
Heavy Industry
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Hosts:
David Arkell

David Arkell

President & CEO

360 Energy

Lysandra Naom

Lysandra Naom

Project Manager

ENWIN Solutons

Lasse Kari

Lasse Kari

Global Energy and Resource Research Lead

Accenture Research

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