MODERN PARADIGM OF THE EU SUSTAINABLE COMPETITIVENESS

Abstract

The article explores the combined development of digital transformation and the green transition as a key foundation of modern paradigm of the EU sustainable competitiveness. Strengthening competitiveness has become one of the EU’s strategic priorities for 2024–2029, and the synergy between sustainability goals and technological progress is seen as a major driver of innovation, productivity and economic resilience. The European Green Deal, the Clean Industrial Deal and the Digital Decade Policy Programme 2030 highlight that climate neutrality and sustainable growth cannot be achieved without digital technologies. Smart grids, IoT systems, artificial intelligence, cloud computing and digital twins optimise energy and resource use, reduce emissions and support the circular economy. Therefore, the twin transition forms a new paradigm of EU competitiveness, where sustainable development, innovation and resilience are mutually dependent components.

The strategic importance of the twin transition for Ukraine is emphasised, especially in the context of post-war recovery and European integration. Ukraine demonstrates strong advances in digital governance – particularly  the Diia platform – and is progressing toward greener energy systems, including decentralised renewable solutions. Digitalisation also ensures transparency in reconstruction processes and strengthens national security. To fully benefit from the twin transition, Ukraine must invest in digital skills, reinforce cyber-resilience, expand access to EU green financing and support innovation ecosystems.

The study concludes that digital and green transformations are mutually reinforcing processes that define a new paradigm of competitiveness. For the EU, this synergy enhances sustainability, innovation capacity and strategic autonomy. For Ukraine, adoption of the twin-transition model is a critical pathway to modernisation, resilience and successful integration into the European Union

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