European Union leaders gathered in eastern Belgium on Thursday for a high-profile summit focused on finding bold and practical measures to revive the bloc’s stagnant economy.

The informal meeting of the 27 member states is being held at the Alden Biesen castle, where heads of government are discussing ways to boost competitiveness, attract investment, simplify regulations, and stimulate innovation. The summit comes amid economic headwinds that include punitive tariffs from the United States and strong competition from Chinese imports, which have weighed on European industry and growth.

European Commission President Ursula von der Leyen emphasized the urgency of strengthening the EU’s economic position, saying that competitiveness is essential not only for prosperity but also for security and the health of European democracies. Leaders are exploring options including regulatory simplification and coordinated investment strategies, though opinions vary widely on how ambitious those policies should be.

France has put forward ideas such as “future-oriented eurobonds” to finance strategic projects across the bloc, while Germany and Italy advocate for deregulation and market-friendly reforms as ways to spur growth. Meanwhile, several smaller member states, including the Netherlands and Nordic countries, have cautioned against policies they view as protectionist.

The summit’s agenda also includes discussions on energy prices, venture capital funding, trade deals, and the single market’s role in enhancing resilience. Former Italian prime ministers Mario Draghi and Enrico Letta are participating, bringing insights from influential economic reports aimed at shaping future EU policy.

With leaders at times divided over priorities, expectations for major breakthroughs remain measured, but the meeting reflects a shared recognition that decisive economic action is needed. The summit is part of ongoing efforts to foster a more competitive and resilient European economy in a rapidly changing global landscape.