Clean Industrial Deal - A plan for a competitive and climate-neutral EU

On February 26, 2025, the European Commission introduced the Clean Industrial Deal (CID). This new industrial plan aims to decarbonize European industry while strengthening competitiveness and innovation and improving supply security.

Goals of the Clean Industrial Deal

The Clean Industrial Deal is part of the EU’s long-term climate strategy, aiming to achieve a decarbonized economy by 2050. As an intermediate target, emissions are to be reduced by 90% by 2040 compared to 1990 levels. The focus areas of the CID include:

• Energy-intensive industries (steel, metals, chemicals): These sectors will receive support for the transition to clean energy, helping them cope with high costs, unfair global competition, and complex regulations.
• Clean technology sector: Europe's future competitiveness heavily depends on innovation in the circular economy, industrial transformation, and decarbonization.

With the Clean Industrial Deal, the EU aims to establish a competitive and climate-neutral industry by promoting affordable energy, investments, circular economy, and international partnerships. This initiative sends a clear signal to businesses, especially as several concrete measures have already been announced.

Key elements of the Clean Industrial Deal

• Affordable energy for industries and businesses
• Increasing demand for clean products and households
• Financing the energy transition
• Circular economy and access to raw materials
• Global partnerships to promote international cooperation
• Development of new skills and creation of high-quality jobs

Economic impact

The Clean Industrial Deal is expected to:

• Mobilize over €100 billion to support clean industrial production in the EU.
• Create a €100 billion reprocessing market by 2030.
• Generate 500,000 new jobs.

Conclusion

The Clean Industrial Deal is more than just a climate goal – it represents a realignment of European industrial policy, aiming to combine competitiveness and decarbonization. This could set the course for a sustainable and innovation-driven industry. At the same time, the final framework remains to be seen. Comments on the draft proposals can be submitted until March 26, 2025, before the final regulation is expected in Q2 2025.