The European Commission has introduced the new Clean Industrial Deal, a bold business plan to support the competitiveness and resilience of EU industry. The Deal aims to accelerate decarbonisation, while securing the future of manufacturing in Europe.

High energy costs, as well as intense and unfair global competition, pose significant challenges for European industries. The Clean Industrial Deal turns decarbonisation into a growth engine, providing companies and investors with the certainty that Europe remains committed to a climate-neutral economy by 2050.

President Ursula von der Leyen said: “Europe is not only a continent of industrial innovation, but also a continent of industrial production. However, the demand for clean products has slowed down, and some investments have moved to other regions. We know that too many obstacles still stand in the way of our European companies from high energy prices to excessive regulatory burden. The Clean Industrial Deal is to cut the ties that still hold our companies back and make a clear business case for Europe.”

The Commission is also working to streamline regulations and reduce bureaucratic barriers for businesses. The new measures under the new Deal are the results of the active engagement with industry leaders, social partners and civil society in the context of the Antwerp Declaration for a European Industrial Deal and the European Commission's Clean Energy Transition Efforts, both of which are efforts aimed at transforming Europe into a clean, resource-efficient, fair and competitive economy.

The Deal focuses mainly on two closely linked sectors. The first is energy-intensive industries, as they require urgent support to decarbonise and electrify. The sector faces high energy costs, unfair global competition and complex regulations, harming its competitiveness. The second is Clean Tech, which is at the heart of future competitiveness and growth as well as crucial for industrial transformation. A central element of the Deal is circularity - it recognizes the need to maximise EU's limited resources and reduce overdependencies on third country suppliers for raw materials.

Furthermore, the deal sets out sector-specific actions, including an Action Plan for the Automotive Industry (March 2025), an Action Plan for Steel and Metals (Spring 2025) and future targeted initiatives for chemicals and clean tech.

Key business drivers for success

The Clean Industrial Deal identifies several key business drivers for success:

• Lower energy costs - affordable energy is essential for industrial competitiveness. To achieve this, the Commission has adopted the Action Plan on Affordable Energy to lower energy bills for industries, businesses and households.
• Boosting demand for clean products - an Industrial Decarbonisation Accelerator Act will increase demand for EU-made clean products, by introducing sustainability, resilience, and made in Europe criteria in public and private procurements.
• Financing the clean transition - the Clean Industrial Deal will mobilise over €100 billion to support EU-made clean manufacturing, which is done through strengthening the Innovation Fund, revising InvestEU and proposing an Industrial Decarbonisation Bank. This amount includes an additional €1 billion guarantees under the current Multiannual Financial Framework.
• Circularity and access to materials - To ensure a stable supply of critical raw materials while maximising resources, the Commission will establish a joint purchasing mechanism for critical raw materials to ensure collective bargaining power; create an EU Critical Raw Materials Centre to negotiate better prices and secure supplies; and introduce a Circular Economy Act (2026) to increase circular material use to 24% by 2030, reducing dependency on imports.
• Acting on a global scale - The EU will reinforce its position in global trade by launching Clean Trade and Investment Partnerships to diversify supply chains and by strengthening trade defence measures to counter unfair competition.
• Ensuring access to a skilled workforce - the Commission will establish a Union of Skills that invests in workers, develops skills and creates quality jobs.

B2EU monitors new EU legislative developments such as the Clean Industrial Deal, as well as any funding opportunities arising from them. Keep an eye on our LinkedIn and website to stay up to date.