What changed

B100277/2025

Follow up to the European Parliament non-legislative resolution on the Clean Industrial Deal

European Parliament resolution on the Clean Industrial Deal

Resolution tabled pursuant to Rules 142(5) and 136(2) of the European Parliament's Rules of procedure

(2025/2656(RSP))

References: 2025/2656(RSP) / B10-0277/2025 / P10_TA(2025)0137

The European Parliament,

Date of adoption of the resolution: 19 June 2025

– having regard to the Commission communication of 26 February 2025 entitled ‘The Clean Industrial Deal: A joint roadmap for competitiveness and decarbonisation’ (COM(2025)0085),

Rapporteur: Tom BERENDSEN (EPP / NL)

– having regard to the Commission communication of 26 February 2025 entitled ‘Action Plan for Affordable Energy – Unlocking the true value of our Energy Union to secure affordable, efficient and clean energy for all Europeans’ (COM(2025)0079),

Competent Parliamentary Committee: Committee on Industry, Research and Energy (ITRE)

– having regard to the report of 9 September 2024 by Mario Draghi entitled ‘On the future of European competitiveness’,

Brief analysis/assessment of the resolution and requests made in it:

– having regard to the report of April 2024 by Enrico Letta entitled ‘Much more than a market’,

The European Parliament welcomes the Clean Industrial Deal as a pivotal and timely initiative that supports the transformation of European industry in line with the EU’s climate, energy, and strategic autonomy objectives. It underscores the urgent need to move from vision to execution, urging the European Commission to swiftly roll out the tools and financial instruments needed to accelerate the industrial transition, including the launch of an Industrial Decarbonisation Bank and the deployment of Carbon Contracts for Difference (CCfDs). It calls for increased and more accessible funding under the Innovation Fund, Horizon Europe, and InvestEU to scale up clean technologies, support industrial modernisation, and bolster the EU’s position in the global competition for green manufacturing capacity.

– having regard to the Commission communication of 29 January 2025 entitled ‘A Competitiveness Compass for the EU’ (COM(2025)0030),

The Parliament also endorses the Affordable Energy Action Plan, welcoming reforms to electricity markets and calling for increased use of long-term instruments such as power purchase agreements (PPAs), two-way CfDs, and improved capacity mechanisms, as well as a more integrated, resilient, and digitalised trans-European energy infrastructure, including an updated grid strategy and cross-border planning. It insists on a fair and predictable regulatory framework, simplified permitting processes, and the enhancement of administrative capacities in Member States, particularly for SMEs. The resolution further calls for clarity and ambition on hydrogen policy, including a scientifically robust definition of low-carbon hydrogen and its role in the energy mix alongside renewables and, where applicable, nuclear power.

– having regard to the Commission communication of 19 March 2025 entitled ‘A European Steel and Metals Action Plan’ (COM(2025)0125),

The resolution stresses the need to ensure gas supply at mitigated costs for those sectors that cannot rely substantially on electrification and to engage with sectoral dialogues with stakeholders from clean tech and energy-intensive industries to strengthen their competitiveness, including a transparent monitoring framework. It calls for the development of a coordinated industrial skills strategy and a targeted use of EU programmes such as ESF+ (European Social Fund), Erasmus+, and the Just Transition Fund to up, and reskill the workforce in industrial regions undergoing transformation.

– having regard to its resolution of 15 September 2022 on the implementation of the Updated New Industrial Strategy for Europe: aligning spending to policy,

Parliament further supports the development of lead markets for European-made clean, circular and low-carbon products, the introduction of voluntary carbon intensity labels and sustainable and resilience criteria and standards for public and private procurement, and strong measures to secure and recycle critical raw materials. It urges enhanced export controls, a stronger enforcement of the Foreign Subsidies Regulation (FSR), and further enhancements of the effectiveness of the Carbon Border Adjustment Mechanism (CBAM) to address the risk of carbon leakage and unfair competition.

– having regard to the its resolution of 3 April 2025 on energy-intensive industries and the related oral question O-00010/2025,

Finally, it calls for building a business case and proposing an EU-wide regulatory framework for CO₂ transport and infrastructure as well as for streamlined access to EU funds for SMEs. It expresses support for sector-specific approaches and welcomes the action plans presented and announced, notably for the automotive industry, steel and metals, chemicals, sustainable transport and the bioeconomy. It also calls for the inclusion of other sectors such as the European aerospace sector and alternative fuels and a specific action plan on clean tech. Parliament insists that industrial policy must be robust and well-targeted to ensure a strong and sustainable industrial base in Europe, create and maintain high-quality jobs, while decarbonising our economy.

– having regard to the Commission communication of 11 December 2019 on the European Green Deal (COM(2019)0640),

Response to the requests and overview of the action taken, or intended to be taken, by the Commission:

– having regard to the report of its Committee on Industry, Research and Energy of 13 May 2025 on electricity grids: the backbone of the EU energy system,

With regard to the call to swiftly move from the Clean Industrial Deal strategy to action and implementation (paragraphs 1 and 5), the Commission underlines the prompt implementation of the announced initiatives and points to the follow-up Communication of 2 July on “Delivering on the Clean Industrial Deal I” (COM(2025)378), which provides an overview of major steps taken. Moreover, the Commission underlines how Member States and other stakeholders also have a key role to play in this regard, for instance in relation to the adoption of the Energy Taxation Directive; more specifically, on lowering the overall levels of taxation of electricity, as well as optimising network tariff design to reduce overall system costs. Finally, the Commission stresses the important role of the co-legislators, the European Parliament and the Council, to further support a fast and efficient implementation of the Clean Industrial Deal.

– having regard to the question to the Commission O-000020/2025,

The Parliament recognises that the proposed actions must be expanded with further measures and a robust and well-targeted industrial policy is needed to ensure a strong and sustainable industrial base in Europe (paragraph 1); the Commission will proactively continue to work towards completing the Single Market. To this end, the Commission – as announced in the State of the Union – will adopt a Single Market Roadmap to 2028 on capital, services, energy, telecoms, the 28th regime and the fifth freedom for knowledge and innovation.

– having regard to Rules 142(5) and 136(2) of its Rules of Procedure,

The Commission will launch a flagship Horizon Europe call of ca. EUR 600 million under the 2026-2027 work programme to support fit-for-deployment projects (paragraph 1). This will aim at fostering synergies between the Framework Programme for R&I and the Innovation Fund, creating a pipeline of projects from research to deployment. In addition, as announced in the Steel and Metals Action Plan, the Commission will launch flagship initiatives under the Research Fund for Coal and Steel (RFCS) which could mobilise EUR 150 million in 2026 and 2027 and also contribute to strengthening the European defence research dimension of the sector. The Commission will also propose an overall reform of the RFCS, to simplify and further accelerate investments in steel research. The Commission recalls the successful roll-out of ‘auctions-as-a-service' in the European Hydrogen Bank auction (paragraph 2 part 2). Building on this success, the concept now also applies to the general calls for proposals under the Innovation Fund as ‘grants-as-a-service'. To facilitate Member States’ use of this feature, the recently adopted Clean Industry State Aid Framework (CISAF) grants a special treatment to aid schemes for projects positively assessed under the Innovation Fund.

– having regard to the motion for a resolution of the Committee on Industry, Research and Energy,

The Commission points out that the recent Electricity Market Design reform (adopted in July 2024) lays out provisions for removing the barriers to the signature of Power Purchase Agreements (PPAs) (paragraph 3). The reform also defines the obligation for direct price support schemes to take the form of two-way contracts for difference and defines design criteria for such contracts. To support Member States in the implementation of those provisions, the Commission is currently working on a guidance on the design of two-way contracts for difference and their combination with power purchase agreements as well as on a guidance on removing barriers to PPAs. Moreover, the Commission already provides de-risking tools for investments under different key EU policy priorities through the budgetary guarantee under the InvestEU programme. As such, the InvestEU Fund provides risk-protection to the European Investment Bank (EIB)’s recently announced Pan-EU Power Purchase Agreement Guarantee. Looking ahead, the Commission will continue working closely with the EIB Group to deliver on the concrete objectives of the Action Plan for Affordable Energy in particular on the successful deployment of PPA programme and Grids manufacturing package. In this context, the Commission welcomes the European Parliament’s support for actions related to the Action Plan for Affordable Energy.

A. whereas the Clean Industrial Deal (CID) aims to bring together climate action and competitiveness under one overarching growth strategy focusing on supporting energy-intensive industries and the clean tech sector; whereas this is much needed, as the transition to a decarbonised and circular economy can only be successful when competitiveness is maintained;

The Commission underlines that Transmission System Operators (TSOs) have the obligation to provide at least 70% of cross-border capacity available for trade, according to Art 16(3) of the Electricity regulation (EU) 2019/943 (paragraph 4). Many National Regulatory Authorities (NRAs) have granted a derogation to their TSOs “on foreseeable grounds where necessary for maintaining operational security” – as foreseen by Art 16(9). These derogations, together with the lack of cost-sharing among TSOs, disincentivise the use of costly remedial actions that could increase significantly cross-border capacity. The Commission is of the view that these derogation decisions should be monitored strictly to ensure that they are fully justified for operational security reasons, that their design ensures the maximisation of cross-border capacities, and that they do not disincentivise the use of remedial actions.

B. whereas the Action Plan for Affordable Energy aims to provide affordable clean energy and short-term relief by lowering energy bills while accelerating the implementation of structural reforms and strengthening our energy systems to mitigate future price shocks;

As regards measures to reduce energy costs (paragraph 5), the Commission highlights that, in addition to ongoing work on the revision of the Energy Taxation Directive and to the recent guidelines to harmonise methodologies for network charges (see above), the Clean Industry State Aid Framework (CISAF) adopted on 25 June 2025 allows Member States to grant temporary electricity price relief for energy-intensive users in sectors particularly exposed to international trade, and heavily dependent on electricity for their production (energy-intensive users). This will allow Member States to reduce the electricity costs of energy-intensive users that face higher costs than competitors in regions with less ambitious climate policies. In return for receiving price support, companies will be required to invest in decarbonisation.

C. whereas European industry is currently facing enormous challenges with high fossil-based energy prices, unfair international competition, lost jobs and skills shortages, leading to scaled-back production, delocalisation and closed sites, thereby increasing our dependency on external suppliers and undermining strategic autonomy, while innovation, manufacturing and associated emissions risk being relocated rather than addressed at source;

The recently adopted CISAF enables Member States to support the development of clean energy, industrial decarbonisation and clean technology (paragraph 6). In particular, the framework simplifies state aid rules in five main areas: (i) the roll-out of renewable energy and low-carbon fuels, (ii) temporary electricity price relief for energy-intensive users to ensure the transition to low-cost clean electricity, (iii) decarbonisation of existing industrial production facilities, (iv) the development of clean tech manufacturing capacity in the EU, and (v) the de-risking of investments in clean energy, decarbonisation, clean tech, energy infrastructure projects and projects supporting the circular economy. As announced in the Steel and Metals Action Plan, the Commission will publish guidance on CCfDs explaining how such type of support schemes can best be structured in line with State aid rules.

D. whereas European industry is willing to move towards sustainability, contributing to achieving climate neutrality by 2050, and a future-proof, decarbonised industrial base can offer significant opportunities, but decarbonisation projects risk being shelved because their business case within Europe no longer adds up;

The Commission stresses that it will propose – as announced in the Clean Industrial Deal and as part of the Industrial Accelerator Act – measures to address permitting bottlenecks related to industrial access to energy and industrial decarbonisation, when these are not already covered by the provisions in the Net-Zero Industry Act and other European legislation (paragraph 7). Moreover, the Commission will consider measures seeking to accelerate certain decisions in the permitting process and how digitalisation, including the use of AI, can help in the permit-granting process.

1. Welcomes the Clean Industrial Deal as a long-awaited first step towards strengthening Europe’s industrial competitiveness and innovation, strategic autonomy, decarbonisation, prosperity and clean growth; urges the Commission to swiftly move from strategy to action and implementation; recognises that the proposed actions must be expanded with further measures; stresses that robust and well-targeted industrial policy is crucial to ensure a strong and sustainable industrial base in Europe and to create and maintain high-quality jobs while decarbonising our economy, reducing pollution and strengthening Europe’s resilience;

As outlined in the 2040 Climate Target Plan and the Action Plan for Affordable Energy, the Commission recognises the contribution of all clean energy solutions to a secure, sustainable, and cost-effective energy mix with renewable energy and energy efficiency as the backbones of our future energy system, alongside nuclear energy in those Member States that chose to use it (paragraph 8 part 1). The Commission recalls that renewable energy drives down energy prices, thus enhancing competitiveness, and strengthening energy independence, while energy efficiency directly contributes to lower energy bills for industry.

2. Welcomes the establishment of the Industrial Decarbonisation Bank with the aim of mobilising EUR 100 billion in funding, as well as the announced pilot with a EUR 1 billion auction on the decarbonisation of key industrial processes across various sectors supporting industrial decarbonisation and electrification; emphasises the importance of scaling up investment in and access to capital for clean tech manufacturing, including via additional funding through the Innovation Fund; calls for broader participation by the Member States in auction-as-a-service schemes; calls for the adoption of investment criteria based on carbon impact, scalability and security of supply; supports Carbon Contracts for Difference in closing the gap between the carbon price and the cost of industrial carbon management projects for hard-to-abate sectors; considers its establishment as a budget line for deployment of industrial decarbonisation technologies within the governance of the Competitiveness Fund;

The Commission stresses that, building on the work of the European Industrial Alliance on Small Modular Reactors, it will adopt a Communication to support the acceleration of the development and deployment of such reactors in the EU in early 2030s – as announced in the Action Plan for Affordable Energy (paragraph 8 part 2). The Commission will also adopt an EU fusion strategy aiming at addressing the current technical, scientific and financial hurdles and will look into the needs of regulatory predictability, on the path to commercial fusion. In addition, the Joint European Forum for Important Projects of Common European Interest (IPCEI) endorsed the launch of the design phase of an IPCEI candidate on innovative nuclear technologies. Interested Member States will develop its scope and structure with support from the new IPCEI Design Support Hub. IPCEIs are a state aid instrument, driven by Member States. Whether or not an IPCEI materialises will ultimately depend on the fiscal capacities and industrial policy priorities of the participating Member States. The Commission stresses that the Agency for the Cooperation of the Energy Regulators (ACER) adopted in July 2025 a methodology for assessing national flexibility needs. Member States now must perform national flexibility assessments and have access to specific support schemes to support investments in non-fossil flexibility, in case gaps are identified (paragraph 9 part 1). The Commission stands ready to support Member States in this process and works in parallel on the development of new rules to remove remaining barriers to the development of demand response, planned for adoption in Q1 2026.

3. Supports the Action Plan for Affordable Energy and its focus on the implementation of the Electricity Market Design, enhancing tools such as Power Purchase Agreements (PPAs) and two-way Contracts for Difference (CfDs) to reduce the influence of fossil fuel prices on electricity prices; welcomes the pilot programme for corporate PPAs via the European Investment Bank and stresses the need to leverage PPAs to expand capacity and achieve genuine decarbonisation; calls on the Commission to introduce de-risking tools to address the main barriers that energy-intensive industries face in signing PPAs, in particular renewable PPAs, as well as CfDs for risk reduction on the demand side for energy users, and to explore how to stimulate the development of hybrid PPAs with matching flexibility products;

The Commission underlines that, as set out in the Competitiveness Compass, energy-efficient technologies are largely made in Europe, thus providing indeed a competitive edge for the EU economy (paragraph 9 part 2). Following a high-level stakeholder dialogue with sector representatives on 20 May 2025, the Commission will continue to engage with this important industry sector in view of strengthening its contribution to the clean energy transition.

4. Underlines the need to boost energy infrastructure, especially cross-border, including interconnections, and to complete the Energy Union; calls for the pursuit of an ambitious outcome of the future dialogue on deeper electricity market integration, as the current fragmentation of regulatory oversight and investment planning across all Member States is hampering integration and electrification; calls on the Member States, transmission system operators and the Commission to boost cross-border electricity trading so as to unlock the benefits of market integration and improve reliability of supply for all interconnected parties; urges the Member States to strive to achieve the current 15 % interconnection target, as set out in Regulation (EU) 2018/1999;

The Commission flags that it has in the meantime adopted a delegated act on 8 July 2025, that clarifies essential rules for producing low-carbon hydrogen in a pragmatic way, thus providing certainty to investors (paragraph 10 part 1). Moreover, the delegated act sets out a comprehensive methodology that allows for the determination of the greenhouse gas emissions savings of various types of low-carbon fuels, covering all relevant production pathways in a technology-neutral way.

5. Highlights the need to finalise work on the revision of the Energy Taxation Directive, which aims to align the taxation of energy products with the EU’s energy and climate policy objectives, and to harmonise a design of tariff methodologies for network charges, provided that such measures do not come at the expense of final consumers; calls on the Member States to urgently provide short-term relief to industry and households, for example by reducing electricity taxes and levies and abstaining from unjustified additional requirements (‘gold-plating’ EU legislation) where this distorts the level playing field;

The Commission informs that the rules for the production of Renewable Fuels of Non-Biological Origin (RFNBOs) are to be reviewed by July 2028 according to the Renewable Energy Directive (paragraph 10 part 2). The Commission has launched a study to assess the effectiveness of the hydrogen framework and to identify possible barriers to the upscaling of renewable hydrogen. A review earlier than July 2028 is possible in case there are reliable signs that the criteria in the delegated acts affect the hydrogen ramp-up. The study will be instrumental to provide the necessary evidence base for a decision.

6. Encourages the Commission and the Member States to improve the coordination of state aid spending on common European industrial priorities and calls on the Member States to make use of this to support industry on the path towards a clean transition, while taking into account different fiscal capacities; reiterates the need for a level playing field; stresses the need for improved coordination of industrial policy across the Union, both among the Member States and between the Member States and the Commission; supports the deployment of the competitiveness coordination tool to guide and align national efforts; considers that public support should contribute to safeguarding jobs and industrial activity in Europe, and that beneficiaries of such support should commit to safeguarding decent employment and working conditions and engage in social dialogue;

The Commission underlines that the Roadmap towards ending Russian energy imports adopted on 6 May 2025, sets out phase-out actions on gas, oil and nuclear (paragraph 11). These have been designed to enhance the security of the EU’s energy supply while limiting any impact on prices and markets. Such actions also enhance transparency and the monitoring of potential energy dependencies. The first deliverable was presented in the legislative proposal. In line with the objectives of the proposed Regulation, the Commission is working with Member States to ensure that the EU-wide phase-out of Russian energy imports will be gradual and well-coordinated across the Union. Finally, the Commission stresses that the actions put forward by the Commission in the framework of the Roadmap are fully compliant with Union law and obligations under international law.

7. Endorses simplification and digitalisation to speed up permitting procedures, while respecting environmental safeguards and protecting human health; calls on the Commission to further address permitting bottlenecks for industrial access to energy and industrial decarbonisation in the Industrial Decarbonisation Accelerator Act, including through the adoption of measures to accelerate judicial and administrative procedures, and to assess criteria for targeted exemptions for construction emissions and depositions for clean and net zero projects, storage and grid projects; urges the Member States to improve their administrative capacities to ensure timely processing of permits and to fully implement the Renewable Energy Directive, including the overriding public interest principle, and the Net Zero Industry Act (NZIA);

As a reminder, the Commission points out that its sectoral action plans are built on inclusive Transition Pathways and collaborative processes involving extensive consultations and stakeholder engagement (paragraph 12 part 1). The Commission stresses how the Strategic Dialogues — launched by President von der Leyen and relevant Commissioners — have and are shaping sectoral action plans. This included for instance the Strategic Dialogues on the future of the automotive industry on 30 January 2025, on steel on 4 March 2025, on the future of the chemical industry on 12 May 2025, and on the upcoming Port and Maritime Industrial Strategies on 1 July 2025. Input also comes from sectoral expert groups, such as the High-Level Group on Energy-intensive Industries or the Net-Zero Industry Group. Moreover, ‘Reality checks’ (such as on “the possible simplification” of the Classification Labelling and Packaging (CLP) Regulation on 16 May 2025) and open public consultations further ensure grounded policymaking. These efforts are complemented by co-developed long-term decarbonisation roadmaps, notably for chemicals and metals, in close cooperation with Member States, industry and trade unions. The Commission will continue to engage in this context.

8. Calls on the Commission to take into account, in safeguarding both security of supply and affordability, all available technologies that contribute to reaching the EU’s climate neutrality goal for 2050 in a cost-effective way in the pursuit of a cleaner, stable, secure and more independent energy mix; recognises that renewable energy, alongside nuclear energy for those Member States that decide to use it, is essential for a clean and secure energy mix; calls on the Commission to strengthen cooperation on the safe development and production of small modular reactors in Europe and to advance research in nuclear fusion as a future energy technology; welcomes the announced assessment of the possibility of streamlining licensing practices for new nuclear energy technologies;

The Commission recalls that a Transition Pathways Stakeholders Support Platform is being developed with the aim of supporting different EU industrial ecosystems and sectoral stakeholders in their decarbonisation and digitalisation processes, as well as to become more competitive and resilient (paragraph 12 part 2). The Platform will provide relevant and up to date information related to the different ecosystems/sectors, on best practices, transition pathways and their pledges, as well as their progress reports. For example, the transition pathway for the EU Chemical Industry publishes an Annual Progress Report that presents the data and qualitative information on the co-implementation by the Commission and by stakeholders of the transition pathway actions.

9. Stresses the role of electrification, but notes that significant expansion and modernisation of grids are necessary; calls for an ‘EU strategy on energy flexibility’ with a focus on demand-side response and energy storage; welcomes the intention to update the Heating and Cooling Strategy and Electrification Action Plan; calls on the Commission to recognise the energy efficiency sector as a key strategic sector for industrial decarbonisation and European competitiveness;

The Commission stresses that Vocational Education and Training (VET) and apprenticeships are contributing to the Clean Industrial Deal, with the future VET strategy and the European Alliance for Apprenticeships (paragraph 13). The European Education Area Working Group on VET and the green transition has brought together representatives from EU Member States and candidate countries as well as social partners to enable exchanges on how to integrate the green transition into VET in different industries and sectors. The Commission is working on a publication that will present the key takeaways from the working group’s activities. On the pressing shortages of women in net-zero industries, projects selected through an Erasmus+ call for proposals for European policy experimentation in VET in 2024 are developing ways to overcome the obstacles preventing girls and women from pursuing a VET career in the green/net-zero technology sector and to increase the participation of women in the sector. The future VET Strategy will also address gender and other stereotypes in making study choices and build on benefits and labour market outcomes of VET so that VET becomes an equally valued learning pathway as higher education, including for women.

10. Stresses the important role that renewable and low-carbon hydrogen can play in the decarbonisation of industry; calls for the swift adoption and implementation of a simple, technology-neutral and investment-friendly definition of low-carbon hydrogen in the forthcoming delegated regulation to supplement Directive (EU) 2024/1788 by specifying a methodology for assessing greenhouse gas emissions savings from low-carbon fuels, while ensuring that such a definition is robust, science-based and incentivises hydrogen production and usage to ensure emissions reductions; supports the announcement of a study on the rules for renewable fuels of non-biological origin (RFNBOs); urges the Commission to take into account the outcomes of this study and the concerns of stakeholders and propose, where appropriate, changes to the delegated act on RFNBOs in order to increase renewable hydrogen production and lower its prices for consumers;

The Commission points to the recently adopted Single Market Strategy, which confirms that the revision of the legal framework for public procurement, that is scheduled for 2026, will incorporate the use of sustainability and resilience criteria in certain technological and strategic sectors, and establish a European preference in European public procurement in certain sectors in line with our international commitments, while ensuring competition. Moreover, the announced Industrial Accelerator Act will seek to create lead markets for the development of European clean and resilient industrial technologies and products and support the production of EU-made clean products. The Commission stresses that providing such a regulatory framework is precisely the headline objective of the future proposal for a Circular Economy Act, scheduled for adoption in 2026 (paragraph 15). In this regard, the Commission further highlights the recent proposal for a new own resource based on non-collected e-waste which would support the Union’s strategic autonomy on critical raw materials.

11. Reiterates the need to develop measures to ensure gas supply at a mitigated cost for those sectors which cannot rely substantially on electrification in the short to medium term; calls for diversified and reliable partnerships in line with the Union’s security, interests and the RePowerEU roadmap;

The Commission remains committed to taking swift action against unfair trade practices causing injury to European production, whenever the legal conditions are met (paragraph 16 part 1). In this context, the Commission recalls that it initiated a record number of 33 new investigations in 2024 in many different sectors. In 2025, to date (3 July 2025), the Commission has already initiated 13 new investigations in various sectors such as chemicals, steel, plastic or wood.

12. Urges the Commission to engage in sectoral dialogues with industries, academia, social partners and relevant stakeholders from clean tech and energy-intensive industries and (cross-border) regional industrial clusters to strengthen their competitiveness and facilitate their transition pathways; stresses that industrial ecosystems are highly interconnected and efficient, where closure of one facility affects the whole cluster; calls for annual monitoring and reporting on the competitiveness and resilience of our industrial ecosystems and on the progress made on the transition pathways, so that instruments can be adapted swiftly with tailor-made support when needed;

The Commission welcomes the Parliament’s demand and stresses its commitment as regards strengthening the enforcement capacity of the Foreign Subsidies Regulation (FSR). The Commission stresses that the FSR is a key tool available to address distortions linked to foreign subsidies, ensuring a level playing field for all companies operating in the Single Market, while also contributing to economic security and strengthening resilience in strategic sectors (paragraph 16 part 3). Moreover, the Commission recalls that the FSR is an important part of the EU’s toolbox to push for a level playing field in the EU, alongside other tools such as trade defence instruments.

13. Underlines that the success of the clean industrial transition hinges on a skilled workforce; calls on the Commission and the Member States to develop a coordinated industrial skills strategy aligned with the NZIA and clean technology priorities; supports the swift deployment and expansion of the Net-Zero Industry Academies and Centres of Vocational Excellence; encourages the use of EU instruments such as ESF+, Erasmus+ and the Just Transition Fund to support targeted up- and reskilling in industrial regions undergoing transformation, including rural areas;

Since the entry into application of the FSR, work has been ongoing to ensure its systematic and proportionate use (paragraph 16 part 2). The Commission has investigated many foreign subsidies to companies active in the EU, including in key sectors where foreign subsidies may distort the Single Market. The Commission did so both in relation to notified transactions and in the context of investigations on its own initiative. The Commission will continue to vigorously enforce the FSR and use the full powers of this new tool where appropriate.

14. Welcomes lead markets for European-made clean, circular and low-carbon products; underlines the need to stimulate demand through public and private procurement and with the introduction of sustainability and resilience criteria and standards, where appropriate; supports the creation of voluntary carbon intensity labels for industrial products (e.g. for steel and cement), which should reflect carbon performance rather than process bias, and alignment with existing EU legislation, including the Ecodesign for Sustainable Products Regulation and the Construction Products Regulation; calls on the Commission to explore other requirements to guarantee demand for clean EU-made products;

The Commission underlines that CBAM certificates will be sold through a dedicated platform (paragraph 17). Only those certificates can be used to fulfil the annual surrendering obligations. Moreover, the Commission recalls that in the Steel and Metals Action plan of March 2025, it has announced the adoption of a legislative proposal by Q4 2025 to extend CBAM to certain steel and aluminium-intensive downstream products and to include additional anti-circumvention measures, accompanied by an Anti-Circumvention Strategy. Moreover, as announced in the Delivering on the Clean Industrial Deal I communication of 2 July 2025, the Commission will put forward a proposal to address export carbon leakage by the end of 2025. Article 30(2) of the CBAM Regulation also asks the Commission to prepare a CBAM review report before the end of 2025, which should among other issues assess the possibility to extend the CBAM scope to other EU Emissions Trading Scheme (ETS) sectors at risk of carbon leakage.

15. Welcomes the proposed actions powering the circular economy and the bioeconomy by securing access to materials and resources; encourages the inclusion in the Circular Economy Act of measures to increase the use and affordability of strategic secondary materials within the EU, taking into consideration the aims of the Critical Raw Materials Act; stresses the need to define those secondary raw materials that are strategic and that should be subject to export monitoring, such as steel and metal scrap, and to tackle any imbalance in their supply and demand, including by exploring export restrictions; insists on the effective enforcement of the Waste Shipment Regulation; calls for a predictable regulatory framework that unlocks circular business models, particularly those based on waste prevention, reuse and high-quality recycling;

Also, in the Steel and Metals Action Plan, the Commission announced that it is necessary to introduce appropriate and effective protective measures beyond 30 June 2026 that will contribute to preserving a competitive and sustainable EU steel industry. To this end, the Commission has proposed a plan, limiting tariff-free import volumes to 18.3 million tons a year and doubling the level of out-of-quota duty to 50%. The proposal will replace the steel safeguard measure that is set to expire by June 2026.

16. Stresses the need to protect the European market from unfair competition and the dumping of industrial overcapacity from non-EU countries by using trade defence mechanisms to their full extent; calls on the Commission to adopt a systematic, proactive and proportionate use of trade defence instruments, including anti-dumping and anti-subsidy investigations; demands that the enforcement capacity of the Foreign Subsidies Regulation be strengthened, and regrets that this tool has not yet been activated systematically in key sectors; calls for the Commission to treat industrial overcapacity and strategic dependencies as core competition risks requiring a coordinated EU-level response and appropriate tools; calls on the Commission to ensure that access to the EU internal market or to European industrial projects is not granted to actors contributing to structural market distortions or unfair competition;

The Commission welcomes the Parliament’s interest in developing further the industrial carbon management agenda and agrees that carbon management will be needed, in line with the Communication on the EU 2040 Climate Target, for sectors which are hard to decarbonise in parallel to other decarbonisation measures (paragraph 18). In 2026, the Commission intends to propose a new legislative initiative to set rules for an EU CO2 market and CO2 infrastructure, aiming to develop a well-functioning and market-driven value chain for CO2. The related call for evidence was published by the Commission on 31 July 2025. The Commission recalls that cohesion policy provides support to SMEs -including in the context of support to the Strategic Technologies for Europe Platform (STEP) and to IPCEIs - tailored to their specific needs and local circumstances in the form of grants and financial instruments for more than EUR 43 billion for the period 2021-2027, with a focus on productive investments, digitalisation, energy efficiency, circular economy, business development and research and innovation (paragraph 19). Additionally, the Commission is pleased to inform that there has been a clear upward trend since the beginning of the Innovation Fund, with 28% of applicants to calls under the Innovation Fund launched in 2024 having stated that they are an SME. Discussions with National Contact Points on how to further increase the participation of SMEs in relevant calls are ongoing. In addition, the EIB provides project development assistance, which should be beneficial to SMEs and further changes to upcoming calls to the benefits of SMEs are currently being considered. As regard IPCEIs, the Commission stresses that SMEs have been continuously and increasingly participating. There has been a strong and steady increase in SME participation from 7% in the first integrated Microelectronics IPCEI in 2018 to 60% in the IPCEI Tech4Cure in July 2025. Moreover, the share of approved State aid for SMEs in IPCEIs has on average, significantly risen to about 50% of State aid approved, as also confirmed in the IPCEI Tech4Cure approved on 22 July 2025. Already since 2023, the Commission introduced in the General Block Exemption Regulation a specific provision which allows Member States to provide aid up to EUR 50 million to innovative IPCEI-related projects without requiring prior Commission approval. Such projects can be part of the IPCEI Ecosystem as associated partners or indirect partners and can thus benefit from the IPCEI advantages, such as cross-border collaborations. This will facilitate the participation of smaller projects usually from SMEs in IPCEIs. Stronger involvement of SMEs in the IPCEI process was also amongst the motivations expressed by several Member States to set-up of the Joint European Forum (JEF) for IPCEIs (JEF-IPCEI) and the establishment of a JEF working group focusing precisely on further facilitating the participation of SMEs in IPCEIs. This working group is expected to deliver its recommendations, which will be made public on the dedicated IPCEI website. Furthermore, an implementation dialogue took place on 30 June 2025 in Madrid with stakeholders from industry, including SMEs, with first-hand experience in IPCEI. An open discussion took place on the experiences of companies (with a focus on SMEs) in IPCEI procedures in order to further improve the processes in particular as regards SMEs.

17. Welcomes the proposed simplification of the Carbon Border Adjustment Mechanism (CBAM) in the first omnibus package as an important step to further enhance the effectiveness of the CBAM to address carbon leakage; reiterates its call for a workable export solution to address the risk of carbon leakage for CBAM goods exported from the EU to non-EU countries; asks the Commission to analyse carefully the risks associated with unverified certificates from outside the EU, which could harm fairness and competitiveness; welcomes the Commission’s intention to present an anti-circumvention strategy before the end of the year, and to consider extending the CBAM to additional sectors as part of the upcoming review; underlines the importance of an effective CBAM in the context of phasing out the free allowances in the EU emissions trading system;

From a broader perspective, the recent Single Market Strategy underlines the need to carefully consider whether additional proof of status should be requested to SMEs in justified circumstances (for example, when applying for SME-specific funding) beyond the SME ID.

18. Welcomes, in the context of the implementation of the Industrial Carbon Management Strategy, building the business case for permanent carbon removals into upcoming (reviews of) legislation; recognises that carbon management, including capture, storage, transport and utilisation, may be needed for hard-to-abate sectors; underlines the need to propose a CO2 market framework package for CO2 transport and infrastructure;

The Commission stresses that it will adopt the Sustainable Transport Investment Plan (STIP) later this year that will establish a strategic approach to scaling up and prioritising investments in solutions for the decarbonisation of all modes of transport (paragraph 20 part 1). The STIP will assess investment needs and roadmaps for the energy transition in all modes of transport, in line with the EU targets established in the EU regulatory framework.

19. Urges accessible funding for SMEs; welcomes accelerated approval and disbursement in instruments such as the Innovation Fund and the NZIA and stresses that the Important Projects of Common European Interest (IPCEI) initiative needs to be accessible to SMEs; urges further improvements and harmonisation to simplify funding applications, reduce reporting obligations and fast-track small projects;

The Commission underlines that the STIP will aim to de-risk private investments in sustainable alternative fuels in the hard-to abate transport sectors of aviation and waterborne (paragraph 20 part 2). This should reinforce the EU’s strategic autonomy, reduce its oil dependency and increase its technological leadership in line with the objectives of the Clean Industrial Deal. The STIP will also strive to achieve a positive impact in other sectors that rely heavily on transport fuels without alternatives, such as fishing, space as well as the military. In the context of implementing the Clean Industrial Deal, the STIP will set out the actions to be taken in the priority area of renewable and low carbon fuels, which will inform the further development of the Competitiveness Fund and be linked to the future Industrial Decarbonisation Bank. This comprehensive approach will provide support to facilitating the decarbonisation of mobility, including the production, distribution and uptake of renewable and low carbon fuels. Those fuels shall benefit from the provisions to speed up permitting and clean transition of energy-intensive industries under the future Industrial Decarbonisation Accelerator Act. The Clean Industrial Deal specifically clarified that it had a dual focus on two closely linked sectors: energy-intensive industries and the clean-tech sector, which is at the heart of future competitiveness and necessary for industrial transformation, circularity and decarbonisation, while it flagged the need to tailor the actions to the specific needs of other individual sectors.

20. Stresses the importance of sector-specific approaches to effectively implement the Clean Industrial Deal across the full range of industrial ecosystems; welcomes the Industrial Action Plan for the Automotive Sector, the Steel and Metals Action Plan, the announcement of the Chemicals Industry Package, the Sustainable Transport Investment Plan and the Bioeconomy Strategy as key building blocks of a coherent industrial transition; calls for the Sustainable Transport Investment Plan to include detailed decarbonisation strategies, reflecting the specific technological and investment needs for the different modes of transport; calls for the inclusion of other sectors, such as the European aerospace sector and alternative fuels, in the framework of the Clean Industrial Deal; calls for a specific action plan on clean tech;

Moreover, the Net-Zero Industry Act has already entered into force. The Commission’s focus is to ensure timely implementation and effective coordination with other policy measures both existing (such as the CISAF) and the European Competitiveness Fund (ECF). The ECF’s primary aim is to consolidate existing competitiveness funding into a single powerful fund that supports every stage of the investment journey — from research and development to manufacturing and deployment, transforming ideas into startups and scaling them up. The fund is designed to cultivate a robust "investment culture," attracting both private and public investment. This will enable Europe to respond more quickly to geopolitical challenges, make smarter investment decisions, and strengthen its competitive position on the global stage. Furthermore, if appropriate, the Commission may come up with technology-specific initiatives, as was the case for batteries in the Automotive Action Plan.

21. Instructs its President to forward this resolution to the Commission, the Council and the governments and parliaments of the Member States.