On 6 March, the EESC hosted a debate on the European Commission’s Clean Industrial Deal, just days ahead of the Council’s 12 March discussions. Policymakers, industry leaders and civil society examined whether the plan can truly support Europe’s clean-tech sector, energy-intensive industries and strategic autonomy.

With geopolitical instability and shifting transatlantic relations, Europe’s need for strategic autonomy is more urgent than ever. The Clean Industrial Deal aims to accelerate decarbonisation and circularity, while boosting industrial competitiveness, starting from lowering energy prices. Questions remain over its feasibility and funding.

‘The question is not to choose between strategic autonomy, competitiveness or the twin transition. All industrial sectors are concerned and must adapt, at their own pace but with clear commitments,’ said Pietro de Lotto, President of the EESC's Consultative Commission on Industrial Change (CCMI), framing the challenge as a balancing act.

The Commission has emphasised the geopolitical necessity of becoming energy-independent from Russia, but Europe’s industrial decline is a growing concern. Industrial output and foreign direct investment inflows have both dropped significantly in the past two years.

Funding will be a major challenge. Achieving the plan’s objectives requires cooperation between EU institutions, Member States and industry. While the European Investment Bank has pledged €500 million in counter-guarantees and €1.5 billion to improve energy grids, national governments must mobilise additional resources.

The social impact of the transition is also a key issue, particularly in energy-intensive industries that have seen significant job losses. Civil society representatives questioned whether reducing energy taxes, a key proposal of the Deal, could come at the expense of education and healthcare funding.

Despite the optimism surrounding the Clean Industrial Deal’s long-term goals, experts raised concerns about its ability to address short-term challenges. Speed and simplification are crucial, as high energy costs and regulatory barriers could slow down progress. Fragmented national policies remain a challenge, and the Clean Industrial Deal risks missing a crucial opportunity to align industrial policy across Europe.

Technological neutrality is also a concern, with debate over the right balance of renewables, hydrogen and biofuels. While the focus on renewables is welcomed, strong commitments to energy efficiency are needed. Renewables have already saved European consumers €100 billion between 2021 and 2023, a success the EU should build on. (jh)