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Open statement by energy intensive industries ahead of ENVI Committee vote on ETS and CBAM
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Energy-intensive industries (EIIs) provide direct employment to around 2.6 million people and represent the foundations of critical and strategic value chains for the EU economy and society. We support the objectives of the European Green Deal and companies in our sectors invest in concrete projects across a range of technological pathways to deliver deep emission reductions.
While the EU’s climate transition has assumed also a more urgent and larger geopolitical dimension since the Russian attack against Ukraine, its short-medium term implementation for EU industry is more challenging than ever. Skyrocketing energy prices, high inflation, soaring carbon prices and raw materials shortages are unprecedented challenges that have already led to production curtailments and stoppages may cause further disruptions in the near future. Another economic downturn, the third in just four years, is looming.
In this new context, it is essential that the implementation of the Fit for 55 Package and in particular the Emissions Trading System (ETS) and Carbon Border Adjustment Mechanism (CBAM) deliver the agreed 2030 climate targets while supporting companies’ investments, preserving effective carbon leakage measures and avoiding disproportionate costs, capacity closures and job losses. Higher climate ambition needs to be achieved cost effectively and be accompanied by strengthened carbon leakage protection from international competition that is not subject to comparable carbon costs, if any costs at all.
Against this background, in view of the upcoming ENVI Committee vote scheduled for 17th May, we urge Members of the European Parliament to focus on:
We call on you to take these comments into account when finalising positions in view of the ENVI Committee vote and recommend not to support amendments which do not provide a realistic business case for the successful transition of manufacturing industry in Europe.
As highlighted in the “Masterplan for a competitive transformation of EU EIIs enabling a climate neutral, circular economy by 2030”, the successful deployment of breakthrough technologies requires three key enabling conditions, notably
We remain committed to providing strong support to the development of policies that truly enable the competitive transition towards climate neutrality.
Brussels, 02 July 2025 – The 90% climate target proposed today by the European Commission demands an unprecedented transformation of EU society and industry in just 15 years. The European steel industry is already doing its part, but a viable business case for the transition is still lacking. To enable it, the EU needs to implement the Steel and Metals Action Plan much more decisively, delivering a highly effective trade protection against global overcapacity, access to internationally competitive low carbon energy and scrap, and a watertight CBAM, says the European Steel Association.
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