EU Commission President Ursula von der Leyen announced the so-called ‘Green Deal Industry Plan’ at the World Economic Forum in Davos on the 17th (Tue) and presented the following four key initiatives.
[Net-Zero Industry Act]
Under the EU's ‘Next Generation EU’ and ‘REPowerEU’ plans, the regulatory environment has been improved to respond to rapidly increasing demand of climate-neutral industries such as wind power, heat pumps, solar power, clean hydrogen and (energy) storage.
To this end, the ‘Net-Zero Industry Act,’ similar to the EU's semiconductor law, will be introduced to focus on investment in the overall supply chain of the strategic sector by 2030. The act especially aims to issue permits quickly and simply for clean technology manufacturing facilities.
[Increasing investment and funding for clean technology production]
In response to competitive incentives provided by non-EU countries such as the US and China, EU will push for a temporary reform tosimplify EU subsidies to maintain competitiveness in European industries.
To achieve this goal, the calculation of subsidieswill be simplified, and related regulations will be revised for prompt payment approval. In addition, targeted support for production facilities related to the strategic clean technology value chain will be implemented to prevent EU companies from leaking due to offshore subsidies.
[Training technical personnel]
Skilled technology management personnel areessential for the transition to clean technology.Necessary support such as regulatory reform and funding will be implemented to foster such essential skilled technology personnel.
[International cooperation to strengthen the supply chain]
A strong and resilient supply chain is vital for the transition to clean technology for global climate neutrality. To this end, international community expands open and fair international trade.
As part of this, some issues related to the implementation of trade agreements with Canada and the United Kingdom are resolved as soon as possible, trade agreements with Mexico, Chile, New Zealand, and Australia are quickly concluded, and trade agreements with India and Indonesia are progressed.
In particular, EU society firmly responds to unfair trade practices in some countriesincluding China. International community blocks market distortions such as public procurement and mergers and acquisitions due to Chinese government subsidies by utilizing EU offshore subsidies.