CEFIC President Calls for EU Action on Chemicals Rescue Plan
26.03.2025 - Europe's chemical industry is in crisis, warns the European Chemical Industry Council (CEFIC) President Ilham Kadri, urging EU leaders to act on a 10-point rescue plan to prevent further shutdowns and loss of investments.
“For us, it is way past 12 o’clock.”
This was the stark warning from Ilham Kadri, President of CEFIC, at the High-Level Strategic Dialogue on the Chemical Industry Package led by Executive Vice President Stéphane Séjourné and Commissioner Jessika Roswall. Addressing policymakers, industry leaders, and civil society, Kadri and her fellow CEOs made it clear: Europe’s chemical industry is in crisis. Without immediate, targeted action, more production sites will shut down, investments will move elsewhere, and Europe will fall further behind global competitors.
“Europe’s chemical industry is the foundation of its industrial ecosystem—every major value chain depends on us…Yet today, companies are halting investments in Europe while our global competitors race ahead," commented Ilham Kadri, CEFIC President. "Without urgent action, we risk losing an entire industrial base. This is not just about chemicals; it’s about Europe’s economic and strategic future.”
With the EU industry facing declining demand, soaring energy prices, and growing regulatory burdens – as raised in the broader Antwerp Declaration – CEFIC has laid out 10 urgent actions that must be included in a comprehensive Chemical Industry Package. These actions must go beyond PFAS and REACh and ensure that Europe’s chemicals industry receives the urgent and tailored support it needs to restore its base in Europe.
- A plan to secure EU value chains of chemicals used in the European Defence industries – Chemicals to be a full part of the Readiness 2030 ambition.
- Direct measures to lower energy costs – Immediate relief, on top of the Affordable Energy Action Plan, reinstate organic chemicals in the EU’s indirect cost compensation list and ensure hydrogen is a viable low-carbon energy fuel.
- A clear policy of urgency on trade protection – Fast-tracking anti-dumping measures and securing a strong EU response to tariff disputes and Russian sanctions.
- Keep the focus on simplification and burden reduction – An Omnibus package to ease administrative burdens on large and small companies.
- Clarity on circularity – Mass balance accounting rules for chemical recycling to be clarified as soon as possible.
- A dedicated policy for access to affordable feedstock – secure bio-based and circular materials in order to meet climate targets, including leveraging Ukraine’s potential.
- Measures to create demand – Lower VAT rates and market-pull measures in the main chemical outlet markets.
- Recognise the critical roles for chemicals to reduce Europe’s dependency – Full support for securing EU production of Active Pharmaceutical Ingredients in the Critical Medicines Act. Further analyse the French proposal for a Critical Chemicals Act.
- Dedicated funding for the chemical industry in the EU Competitiveness Fund, Industrial Decarbonisation Accelerator Act and Industrial Decarbonisation Bank, including a dedicated chemical industry Public Private Partnership or R&I fund for demonstration plants.
- A true simplification of REACH – Building on CEFIC’s 10 point plan, we need targeted measures that ensure predictability for investment.
EU leaders have committed to engaging in dialogue with the chemical industry, but there is a strong emphasis on the need for this conversation to produce tangible results. The industry is calling for more than just another round of discussions; it requires a clear plan to enhance competitiveness, safeguard industrial jobs, and drive sustainable innovation in Europe.
Contact
European Chemical Industry Council - Cefic aisbl
Avenue Van Nieuwenhuyse 4
1160 Brüssel
Belgium