Article III-279 (#)

1. The Union and the Member States shall ensure that the conditions necessary for the
competitiveness of the Union's industry exist.
For that purpose, in accordance with a system of open and competitive markets, their action shall be
aimed at:
(a) speeding up the adjustment of industry to structural changes;
(b) encouraging an environment favourable to initiative and to the development of undertakings
throughout the Union, particularly small and mediumsized undertakings;
(c) encouraging an environment favourable to cooperation between undertakings;
(d) fostering better exploitation of the industrial potential of policies of innovation, research and
technological development.
2. The Member States shall consult each other in liaison with the Commission and, where
necessary, shall coordinate their action. The Commission may take any useful initiative to promote
such coordination, in particular initiatives aiming at the establishment of guidelines and indicators,
the organisation of exchange of best practice, and the preparation of the necessary elements for
periodic monitoring and evaluation. The European Parliament shall be kept fully informed.
3. The Union shall contribute to the achievement of the objectives set out in paragraph 1 through
the policies and activities it pursues under other provisions of the Constitution. European laws or
framework laws may establish specific measures in support of action taken in the Member States to
achieve the objectives set out in paragraph 1, excluding any harmonisation of the laws and
regulations of the Member States. They shall be adopted after consultation of the Economic and
Social Committee.
This Section shall not provide a basis for the introduction by the Union of any measure which could
lead to distortion of competition or contains tax provisions or provisions relating to the rights and
interests of employed persons.