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Policy

EU Rewrites AI Law to Shield German Industrial Giants

Siemens and Bosch win a machinery exemption; high-risk AI restrictions slip by over a year.

Sourced from PoliticoBy Pieter Haeck

Germany is set to secure a machinery exemption from the EU AI Act, according to five EU diplomats who spoke to Politico. EU ambassadors backed the move Wednesday morning under the Cypriot presidency. Chancellor Friedrich Merz personally lobbied German CEOs on the effort.

This is the first significant rollback of EU digital rules. The original law was designed to cover all sectors without carve-outs. The deal also delays restrictions on high-risk AI uses by more than a year and gives companies a grace period to meet AI content watermarking requirements.

Watch whether other member states use Germany's win as a template for their own sector exemptions. The EU built a universal framework. Industry is now dismantling it one vertical at a time.

Analysis

The AI Act launched as a single rulebook. It is becoming a patchwork. Operators in manufacturing should move now; operators in other sectors should watch which exemption comes next.

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Title: EU Rewrites AI Law to Shield German Industrial Giants
Summary: EU ambassadors agreed to exempt machinery from the AI Act, a direct win for Germany. The deal also delays high-risk AI restrictions by more than a year and grants a grace period for content watermarking rules.
Category: Policy
Source: Politico, https://www.politico.eu/article/germany-eu-ai-law-machinery-exemption-industrial-rewrite/

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