These acts will impact industry in 2026/27

EU regulation: Why industrial companies need to pay close attention now

Published Modified
Symbolbild zur EU-Regulierung für Unternehmen: Industrieproduktion mit digitalen Sicherheits- und KI-Symbolen steht für neue EU-Vorschriften wie Cyber Resilience Act, AI Act und Data Act.
New EU rules such as the Cyber Resilience Act, AI Act and Data Act are increasingly affecting product development, IT security and supply chains in industrial companies.

Cyber Resilience Act, AI Act, NIS2 or CBAM: From early 2026, numerous new EU regulations will apply to companies. Some are already in force, others will follow over the course of the year, and 2027 is also already in the regulatory spotlight.

Leadgate container

Summary: Several new EU rules will come into force in 2026 and 2027 and will directly affect industrial companies. These include the Cyber Resilience Act, AI Act, Data Act, NIS2, as well as sustainability and liability regulations. Companies must adapt their compliance structures in development, IT security and supply chains.

Interestingly, alongside introducing new regulations, the EU is at the same time discussing relief measures for businesses. This mix of regulation and deregulation makes planning and investment decisions more difficult. Many of the new rules have a direct impact on development, production, or digital infrastructure. Anyone who develops machines, equipment, or other products with software, uses international supply chains, or operates digital services must deal with a whole series of new requirements.

Many of these regulatory frameworks are interconnected. Digital security, data access, product liability, and sustainability requirements often affect the same products or supply chains. Companies therefore not only have to implement individual rules, but also further develop their compliance structures as a whole – from product development and IT security through to supply chain management.

Cybersecurity becomes part of product development

With the implementation of the NIS2 directive (EU 2022/2555), significantly stricter requirements for cyber risk management have applied since the end of 2025. The rules now cover not only traditional operators of critical infrastructure, but, in addition to operators of essential services, also providers of digital services that were previously not covered by the regulations, such as cloud services, data centers, or online marketplaces. Security measures must be strengthened across the board, these measures documented, and IT incidents reported within short deadlines. Applies to: Operators of essential and important entities, especially medium-sized and large companies in critical sectors (e.g., energy, transport, healthcare, digital infrastructure).

The Cyber Resilience Act (CRA) (EU 2024/2847) intervenes even more strongly in product development. In the future, manufacturers must ensure that their products can be operated securely over their entire life cycle. The CRA has been in force since 2024. However, initial obligations, such as reporting obligations for security incidents, only apply from September 2026, and the full regulation from 2027. From June 11, 2026, a conformity assessment body (“notified body”) can check whether a product meets the security requirements of the Cyber Resilience Act and thus fulfills the conditions for CE marking. Applies to: manufacturers, importers and distributors of products with digital elements (e.g. software, IoT devices, machines with digital control systems). 

AI & data economy (AI Act & Data Act)

Focus: “Access by design” and high-risk systems

The EU is reshaping the rules for handling data and artificial intelligence to strengthen transparency and user rights.

  • AI Act (from August 2026): Extensive obligations for high-risk AI systems, including risk management, documentation of training data and ensuring human oversight.
  • Data Act (from September 2026): Connected products (IoT, machines, vehicles) must be designed according to the “access by design” principle so that users have technical access to the data generated.
  • Labelling obligation: AI-generated content must be clearly recognizable as such.

Machinery regulation is getting closer

The new EU machinery regulation (EU 2023/1230) will gradually replace the previous machinery directive and will apply on a mandatory basis from 2027. The requirements for technical documentation and risk assessment are increasing. In addition, growing digitalization of machinery is explicitly addressed. Among other things, the regulation contains new requirements for software and network security, for example for updates, as well as for autonomous functions and for the interaction between humans and machines. For companies with complex machinery or automated production systems, this may mean that existing conformity assessments have to be revised. Applies to: manufacturers, importers and distributors of machinery and safety-relevant machine components. 

Mechanical engineering & product liability (Machinery Regulation)

Focus: New standards for Industry 4.0

With the new EU Machinery Regulation and the revised Product Liability Directive, the EU is adapting the legal framework to digitalization.

  • Machinery Regulation (from 2027): Binding requirements for software updates, autonomous functions and human-machine interaction.
  • Extended liability: Product liability now explicitly also applies to software, AI systems and faulty updates.
  • Disclosure obligation: Manufacturers can be ordered by a court to disclose technical documentation if a product is plausibly considered the cause of damage.
  • Right to repair: Manufacturers must keep spare parts available for certain product groups and enable repairs over the long term.

Data access and AI under regulation

There are also new obligations for handling data and artificial intelligence. The EU Data Act (EU 2023/2854) requires manufacturers of connected products to enable users to access the data generated by their devices. This also affects many industrial products such as machines, vehicles or IoT devices. From September 2026, new products must already be designed so that this data access is technically possible (“access by design”). Applies to: manufacturers of connected products, providers of related digital services, and data holders. In parallel, the AI Act (EU 2024/1689) will impose extensive requirements for so-called high-risk AI systems starting in August 2026. Transparency is essential: AI-generated content must be clearly labeled, and the functioning of AI systems must be explainable. Providers are required to establish risk management, document training data and ensure that human control over AI decisions remains possible. Applies to: providers of AI systems as well as companies that use or place AI systems on the market. 

Sustainability rules affect supply chains

In addition to digitalization, sustainability remains a key driver of regulation. On January 1, 2026, the CO₂ border adjustment mechanism CBAM (EU 2023/956) entered a new phase. For certain emissions-intensive imported goods, companies will in future have to purchase CO₂ certificates. The aim is to avoid distortions of competition caused by differing climate standards. Reporting obligations are also increasing. Applies to: companies that import certain CO₂-intensive goods from third countries into the EU (e.g. steel, cement, aluminum, fertilizers). 

Under the Corporate Sustainability Reporting Directive (CSRD) (EU 2022/2464), companies must report for the first time for the 2025 financial year. To prevent so-called greenwashing, environmental claims may only be made if they can be verified with evidence. Applies to: large companies and listed companies with more than 1,000 employees. Sustainability labels must, under the EmpCo Directive (“Empowering Consumers for the Green Transition”) (EU 2024/825), be based on a recognized certification system or be established by public authorities. The federal government has already presented a draft bill to amend the Act Against Unfair Competition. Applies to: companies that advertise with environmental or sustainability claims. 

Cybersecurity & IT compliance (NIS2 & CRA)

Focus: Product safety and infrastructure protection

From 2026, the requirements for digital resilience will tighten significantly. While the NIS2 directive has already imposed stricter risk management and reporting obligations on medium-sized and large companies in critical sectors (e.g. energy, transport, healthcare) since the end of 2025, the Cyber Resilience Act (CRA) puts product development in the spotlight.

  • September 2026: Initial reporting obligations for security incidents under the CRA come into force.
  • From June 11, 2026: Conformity assessment bodies (“notified bodies”) can test products for CE marking according to CRA standards.
  • Affected: Manufacturers of software, IoT devices and machines with digital control.

Product liability and repair obligation

The new EU Product Liability Directive (EU 2024/2853), which must be transposed by December 2026, significantly expands the scope of liability. In future, it will explicitly also apply to digital products, software or AI systems, including software updates. If an injured party plausibly demonstrates that a product could have caused damage, a court can oblige the manufacturer to disclose relevant technical documentation. In parallel, the so-called right to repair is being strengthened. Manufacturers of certain product groups will in future have to provide spare parts and enable repairs over longer periods of time. Applies to: manufacturers, importers and distributors of products, including software and AI systems. 

Regulation becomes a management task

At the same time, the EU is promising to reduce regulatory burdens for companies in other areas and is not ruling out simplifications of rules that have already been adopted. However, as long as it remains unclear whether individual requirements will be postponed, companies must provisionally plan for the originally scheduled dates. For many companies, regulation is thus becoming a strategic management task. Those who analyze at an early stage which requirements are actually relevant can integrate new obligations into existing processes before they turn into an operational problem.

FAQ: EU regulation for companies

Which EU regulations will particularly affect companies from 2026? - Key regulatory frameworks include the Cyber Resilience Act, AI Act, Data Act, NIS2 directive, CBAM and the Machinery Regulation.

• Why is EU regulation becoming more complex for companies? - Many new regulatory frameworks interact with each other and simultaneously affect IT security, product development, data access and supply chains.

• What role does EU regulation play for AI systems? - The AI Act introduces new requirements for high-risk AI, including transparency obligations, risk management and human oversight of AI decisions.

• How is EU regulation changing industrial product development? - Requirements such as the Cyber Resilience Act or the Data Act demand that security requirements and data access be taken into account already during product development.

Sustainability & supply chains (CBAM & CSRD)

Focus: CO₂ imports and greenwashing protection

Sustainability is becoming a strict compliance requirement through new reporting and border adjustment obligations.

  • CBAM (since January 2026): Importers of emissions-intensive goods such as steel, aluminum or cement must purchase CO₂ certificates.
  • CSRD reporting obligation: Large companies (> 1,000 employees) must submit comprehensive sustainability reports for the 2025 financial year for the first time.
  • Anti-greenwashing (EmpCo directive): Environment-related advertising claims are only permitted if they are based on recognized certification systems or are defined by the state.
Powered by Labrador CMS