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Facing the globalized and increasingly competitive environment, the manufacturing sector of each economy is forced to its own continual competitiveness growth. Along with the intensifying competitiveness more attention is given to the industrial policy measures assigned to enhance the performance of the domestic firms. The raising attention to the European industrial policy could be connected with the problems linked to de-industrialisation and to the fears of de-localization (the European Union's manufacturing base moving out of Europe) as well. The first part of the presented article analyses the relationship between industrial policy and competitiveness. The following two parts are focusing on EU industrial policy, its development and the latest trends.