SME Global

Amid the high-caliber discussions featured at the #IDUForum2024, SME Global hosted a panel titled "Global Trade and Competition: Guiding SMEs Through a World of Great Power Rivalry." with Jörgen Warborn MEP, President of SME Global; Johan Van Overtveldt MEP; Andrew Griffith MP, Shadow Secretary of State for Business and Trade; moderated by the Rt. Hon. Stephen Harper, IDU Chairman and 22nd Prime Minister of Canada. Our conversation explored the shifting currents of geopolitics and trade, moving from the optimism of liberalization and open markets to a surge of skepticism and rising protectionism. We looked into these dynamics, offering predictions on what the future of global trade might hold. 🔹Tariffs vs. Trust: Free trade drives economic growth, but only when fairness and equal competition are ensured. China’s state-backed industries have prompted the US and Europe to rely on tariffs to correct imbalances. However, the use of tariffs in more balanced relationships, such as between the US and Europe, was seen as excessive, with greater emphasis placed on dialogue and collaboration to uphold strong transatlantic partnership. 🔹A Fresh Start: The discussion pointed to broader challenges in the global trading system, emphasizing WTO reform and the need to move beyond politicized trade. Non-trade conditions like climate and social policies were seen as barriers to progress. Recent political shifts within the EU were viewed as a chance to reinvigorate its trade agenda, benefiting both the bloc and its partners. 🔹Reclaiming the Narrative: The broad benefits of free trade, including better goods at lower costs, are often taken for granted, leaving critics to shape the narrative in the public discourse. This highlights the need for stronger advocacy to clearly communicate the advantages of free trade agreements and challenge misconceptions. 🔹SMEs Deserve a Fair Shot: SMEs, highly exposed in today’s hostile trade climate, need targeted support. Solutions focus on simplifying complex trade agreements, fixing fragmentation in the EU’s single market, easing regulatory burdens, and ensuring government procurement systems are more accessible to SMEs. Looking ahead, shaping the future of global trade demands more than just cooperation, it requires democratic nations to forge pragmatic and forward-thinking alliances that leave ideology behind.

Small Business, Global Impact: Trends to Watch and Policies to Lean On - Our Lunch Event at the Capitol Hill Club 🇺🇸 brought together policymakers from the US, Europe, and Canada as well as private sector voices to address the dynamic environment in which small and medium-sized businesses operate. Against the backdrop of shifting political and economic landscapes, the event underscored SMEs' pivotal role in driving economic growth, fostering innovation, and strengthening international partnerships. The discussion kicked-off with a focus on cross-border collaboration, highlighting how supporting SMEs drives economic growth and strengthens democracies. European 🇪🇺 policymakers shared plans to boost competitiveness by easing regulations, investing in the single market, and lowering energy costs. U.S. 🇺🇸 interlocuotors echoed these goals, emphasizing tax reform, cutting red tape, and creating a stable business environment. Trade and supply chain resilience were central themes. Participants stressed the urgency of aligning trade standards, reducing barriers, and diversifying away from reliance on unpredictable markets like China. The focus was on strengthening trade with trusted partners in democratic nations. Technology and artificial intelligence also emerged as game-changers, prompting calls for global collaboration to establish fair AI standards. Regulatory alignment was another priority, with a call to action for deregulation like Europe’s “one-in, two-out” approach to simplify compliance for SMEs and boost competitiveness. Canadian 🇨🇦 interlocutors highlighted the need for streamlined processes to attract foreign investment and improve competitiveness, while addressing challenges such as aging business ownership and a lack of succession planning. Emphasis was placed on the need for bold coordinated policy initiatives to help SMEs expand internationally and embrace innovation. The event concluded with a clear message: SMEs are at the heart of global economies and essential to sustaining democracy and prosperity. Their success relies on breaking down barriers, aligning policies, and building a shared, competitive and sustainable future through collaboration at all levels. A heartfelt thank you to our esteemed speakers — Jörgen Warborn, Randy Hoback, Congressman Gary Palmer and EPP Chairman Manfred Weber, Scevole de Cazotte, Todd McCracken, and John Stanford. Special thanks to the International Democracy Union for its role in fostering this critical dialogue. And to our partners Ed Stewart, Alessia Ardesi, Hon. Candice Bergen and more for their exceptional support in organizing this panel.

This week we are in 📍Washington DC 🇺🇸 at the #IDUForum2024. Starting the day with our SME-focused Lunch Discussion at the Capitoll Hill Club. Small businesses represent the majority of enterprises and employment. How are fast-changing economic, political, and market conditions affecting small business owners? What trends should they watch, and what policies can help them succeed? We'll be looking into that with industry experts and policymakers. Jörgen Warborn, Randy Hoback, Scevole de Cazotte, Todd McCracken, John Stanford International Democracy Union

When growth is slow, policymakers should focus on clearing the path for SMEs to grow, and the economy will follow. AI is a game-changer for SMEs, giving them the chance to stand out and grow in a competitive market—a fact everyone’s recognizing. We seized the chance to discuss it during a morning debate on the sidelines of the #WTOPublicForum in Geneva, organized in partnership with Konrad-Adenauer-Stiftung. Here’s what we take with us: 🔷 Global Digital Readiness: Not enough progress. Digital divide is growing more in developing countries, women and rural polulation are most vulnerable. Many regions still falling behind in basic digital ecosystems like e-commerce. Underdeveloped data around compliance, finances, sources, value chain is hindering progress for MSMEs. 🔷 Global Regulatory Framework: Regulatory differences hit small businesses hardest. Differences in objectives and unclear terminology slow progress. Common global standards are crucial, with AI potentially becoming the next plurilateral focus at the WTO. Fragmentation remains a significant risk, underscoring the need for inclusiveness through coordinated efforts at the global institutional level. 🔷 Endless possibilities for MSMEs: Major boost for competitiveness. Use AI as a co-pilot to navigate legal complexities, expand into new markets, enhance marketing, streamline supply chains, meet sustainability goals, and track consumer behavior. 🔷 Prepare for the impact: Multilateral platforms for MSMEs must embrace AI component, or risk becoming obsolete. Focused action on ensuring that the workforce is prepared to adapt. Cooperation across the board - academia, public and private sectors as key interlocutors on solutions. Thank you Ambassador Matthew Wilson Sébastien Rumley, Luis Rodrigo Morales-Velez , President Jörgen Warborn, Ivan Stefanec well as Multilateral Dialogue Geneva | Konrad-Adenauer-Foundation team Andrea Ostheimer, Cedric Amon for enriching the discussion. We are looking forward to continuing the exchange.

🌐Started the morning hosting an event as President of SME Global, together with Konrad-Adenauer-Stiftung, at the WTO Public Forum. Themed "Empowering SMEs through Digital Transformation: Navigating AI's Impact in the Global Market."   The ability to harness AI has become a success factor. Those who embrace it will thrive; those who don't will fall behind. It isn’t a choice between adopting new technology or maintaining status quo—it’s a choice between staying competitive or becoming irrelevant. There is a saying, “The US innovates, and the EU regulates”. And Europe has taken a unique path when it comes to regulating AI, reflected in the newly adopted AI Act. Instead of prioritizing opportunity, it focuses on risk and regulation. I believe this is motivated by the EU:s desire to balance innovation with governance, but we need to ask ourselves: are we getting that balance right? Managing risks is essential for building trust in AI systems, but we must ensure that regulation doesn’t stifle innovation. Because other regions are moving faster, harnessing the AI opportunity to reshape their economies. And I am concerned about Europe’s ability to remain competitive in this fast-moving landscape. Our regulatory environment—whether in terms of innovation, investment climate, or administrative burden— significantly impacts where businesses choose to invest. In the global AI race, Europe must keep up. If we don’t, we will be left behind—poorer, and less innovative than our competitors. To change course, I believe that we must: 🔹Shift our mindset - from risk to opportunity. 🔹Change GDPR from a competitiveness perspective. SMEs must be able to build business models around data. Current privacy regulations, such as GDPR, create challenges for companies trying to leverage data in innovative ways. 🔹Common laws and standards across member states and regions—particularly for SMEs. Clear, unified standards will give SMEs the confidence they need to adopt AI.

We need to ease the regulatory burdens for SMEs! The path from startup to global player.

We are thrilled to announce the appointment of Jörgen Warborn as new President of SME Global. A distinguished Member of the European Parliament representing the Swedish Moderates and serving as Vice President of SME Europe of the European People’s Party, brings a wealth of experience and dedication to his new role. International Democracy Union Read more here: https://lnkd.in/eWcWAyfB

We welcome Jörgen Warborn as the new President of SME Global.

SMEs potential for export is currently untapped. We must ensure that we reduce red tape that hinder SMEs to tap into the global market.

Let's foster partnerships that facilitate knowledge sharing and promote innovation in the SME sector.