07 Jan 2026
EU companies increase R&D investment according to 2025 EU Industrial R&D Investment Scoreboard
The European Commission published the 2025 EU Industrial R&D Investment Scoreboard on 22 December 2025. According to the Scoreboard, EU companies drove strong research and development (R&D) growth in energy, health, aerospace and defence in 2024.
While the report highlights Europe's leadership in key industries, it also underscores the intense pressure from global competition, particularly in the information and Communication technologies (ICT). In 2024, the EU's leading industrial R&D investors in the electricity and renewable energy sectors increased their R&D investment by 19.8% and capital expenditure by 17.8%. This is a positive step toward achieving the goals of the Clean Industrial Deal. In the health sector, leading firms increased R&D investment by 13 % – a significantly higher growth rate than in other parts of the world. Additionally, European aerospace and defence firms are investing 4.8% more to increase Europe's defence readiness.
The key findings of the report are the following:
- EU strategic strengths: EU companies sharply increased R&D in energy (19.8%), far exceeding growth in the US (6%), Japan (-14.2%) and China (3.8%). In health, EU growth (13%) significantly outpaced the US (7.1%), Japan (9.1%) and China (0.1%). Aerospace and defence also recorded a 4.8% rise.
- Innovation hubs: Most R&D investment by the top 800 EU companies occurs in countries classified as ‘strong innovators' (Austria, Belgium, Estonia, France, Germany, Ireland, Luxembourg). This highlights the potential of supportive ecosystems to grow R&D-intensive companies.
- Global momentum is slowing down: The world's top 2,000 companies invested €1,442.6 billion in R&D in 2024 (+6.3%). Growth was strongest in the US (+7.8%) and the rest of the world (+8.1%), followed by Japan (+7.1%). The EU (+2.9%) and China (+3.9%) saw more modest increases.
- Sectorial focus: Four sectors - ICT software, ICT hardware, health and automotive account for over 80% of the total investment. US firms lead in ICT and health; EU firms remain global leaders in automotive.
For more information: