On Monday 18 May 2026, Luxembourg's Ministry of the Economy announced the launch of a new call for research and development (R&D) projects aimed at supporting innovative business projects in the fields of industry and mobility of the future, with the goal of strengthening the country's competitiveness, resilience and economic sovereignty.

According to the ministry, this is the first R&D call for projects aimed exclusively at businesses. It forms part of the government's strategy to strengthen the Luxembourg's industrial base, promote the adoption of advanced digital technologies and support the large-scale development of sustainable and digital industrial solutions.

The ministry said the selected projects should contribute to the development of new products and services, the adaptation of existing offerings to new markets or sectors, or the transformation of production processes and value chains into smarter, more automated, more flexible, more sustainable and more resilient systems.

The call for proposals aims to provide financial support for innovations with strong economic and technological potential, while also stimulating the emergence of new scientific and technical knowledge.

The call focuses on five priority areas:

  • smart and predictive sensors;
  • advanced automotive software and intelligent mobility;
  • sustainable and/or lightweight materials;
  • resilient and sovereign supply chains;
  • industrial processes optimised by artificial intelligence (AI) within an Industry 4.0 framework.

According to the ministry, these themes were selected to address the strategic needs of Luxembourg's economy and support future-oriented technological capabilities.

The call for proposals is subject to a competitive selection process and organised in accordance with Article 21 of the Law of 6 June 2025 on the promotion of research, development and innovation. There is a specific allocated budget. If the number of eligible projects exceeds the available budget, projects will be selected based on their ranking following the competitive selection process, until the budget is exhausted. Projects ranked below the funding threshold will not be selected. When the available budget allows, up to 90% of eligible projects may be selected, in accordance with their ranking.

Projects must fall within the field of industrial research and/or experimental development and have a duration of 24 to 36 months.

The total budget allocated to this R&D call for proposals is €15 million.

The Ministry of the Economy may co-finance selected projects with up to €2 million per project. The level of support will vary depending on the size of the company and the nature of the project, with a possible bonus for collaborations with a public research institute or between companies, subject to applicable conditions. Public funding may under no circumstances exceed 80% of eligible costs.

The call for projects is open from 15 May to 31 July 2026 to companies of all sizes, including startups, small and medium-sized enterprises (SMEs) and large corporations. Applications must be submitted via the MyGuichet platform, along with the complete proposal, financial appendices and all required documents.

The Ministry of the Economy will evaluate the projects in accordance with the provisions of the law, between August and November, with a decision communicated no later than the end of November 2026.

Further information regarding eligibility criteria, participation procedures and evaluation criteria is available in the call for proposals description on Guichet.lu.

A webinar is scheduled for mid-June 2026 to present the objectives of the call for proposals, the application preparation process, and will be followed by a Q&A session. Information and registration details to follow.