At the end of February 2025, the European Commission EU Clean Industrial Deal presented. The initiative is intended to strengthen the competitiveness of European industry and drive forward decarbonization at the same time. With a comprehensive package of measures, the EU wants to ensure that European companies can compete globally and promote sustainable technologies.
The core elements of the EU Clean Industrial Deal
The EU Clean Industrial Deal pursues several key approaches to ensure a sustainable and competitive European industry. This includes reducing energy costs through simplified competition rules and tax relief. The EU Commission wants to promote investment in clean technologies with a financing volume of 100 billion euros from the EU Emissions Trading Scheme and an expansion of the Horizon Europe flagship initiative for research and development. Additional 50 billion euros The increase in the InvestEU programme is intended to mobilize innovative projects.
An important component of the deal is the Reducing bureaucratic hurdles. Simplified approval procedures and a reform of public procurement should enable companies to implement sustainable investments more quickly. At the same time, the EU is increasingly focusing on Resource efficiency and recyclingwith the aim of achieving by 2030 25 % of strategic raw materials from recycling processes. The new EU Critical Raw Material Center is intended to help pool European companies' demand for raw materials centrally, procure them efficiently on the global market and ensure fair market conditions.
The plan also includes Strong trade policy measuresincluding the simplification and expansion of the Carbon Border Adjustment Mechanism (CBAM)to ensure fair competition at a global level. At the same time, new trade agreements are being sought with international partners in order to stabilize supply chains.
Another focus is on social aspects and workplaces. The Clean Industrial Deal provides for programs to upskill workers and promotes training initiatives such as Erasmus+ the qualification of skilled workers in key sectors. The EU Commission expects that these measures will 500,000 new jobs are created.
Timetable for the EU Clean Industrial Deal
In order to achieve these ambitious goals, the European Commission has drawn up a structured roadmap that provides for the gradual implementation of the measures.
The EU is already launching key legislative initiatives in the first quarter of 2025. These include a Action plan for Affordable energywhich Extension of the Gas Storage Ordinance and a draft law on the production of low-carbon hydrogen that provides legal certainty for electrolysers. In addition, the EU will First list of strategic projects for critical raw materials and start simplifying the CBAM. The commission for the qualification of additional specialists is also due to begin its work in Q1.
The introduction will follow in spring and summer 2025 State aid framework for the Clean Industrial Deal, a Recommendation on grid charges of the member states and the adoption of the Ecodesign working plan. A pilot auction of the Innovation Fund and a review of the CBAM amendments are planned for the fall.
By the end of 2025, the EU will have passed a law to accelerate the industrial decarbonization which simplifies permits for industrial energy use and creates a Label for low-carbon products. At the same time, new guidelines for Horizon Europe will be published and trans-Mediterranean cooperation in the field of clean technologies will be expanded.
Further milestones are scheduled for 2026, including the launch of the EU Industrial Decarbonization BankThe introduction of new legislative proposals to extend CBAM and the revision of the public procurement directives. The EU will also be EU Center for Critical Raw Materials and set new standards with a law on the circular economy. An ecological VAT initiative will also promote sustainable economic models.
Ambitious goals of the EU Clean Industrial Deal
The EU Clean Industrial Deal pursues ambitious goals. Strategic investments, a reduction in bureaucracy and new market incentives are intended to make European industry fit for the future and competitive. By promoting the clean tech industry, the expansion of renewable energies and greater electrification, the EU Commission is focusing on lower energy prices, sustainable production and the creation of European lead markets for green technologies. In addition, raw materials are to be recovered through recycling and the relevant skilled workers trained. It remains to be seen whether European companies will successfully manage the green transformation in this way and depends largely on the implementation of the measures and international competitiveness.