Brussels, 4 March 2026 – Published today, the European Commission proposal for an Industrial Accelerator Act (IAA) aims at strengthening the competitiveness and resilience of the EU manufacturing sector while accelerating decarbonisation in strategic sectors. This is an important step forward in advancing the objectives of the Clean Industrial Deal and climate neutrality. However, to unlock large-scale investment in low-carbon industrial production, it must deliver stronger and more comprehensive lead market measures.
In recent years, the EU has increased support for clean industrial production. But demand for low-carbon products remains weak. As Carbon Management Europe (formerly ZEP) outlined last year, there is a clear need for demand-side measures to advance low-carbon industrial production in Europe. The introduction of mandatory green public procurement with both low-carbon and EU origin requirements for some industrial sectors can provide an important first market signal and reduce early investment risks.
However, in the current approach, requirements only apply to a narrow range of industrial products; namely, steel, concrete and mortar, and aluminium. Moreover, it is limited to public procurement and other government intervention procedures, with no demand-side mandates for private buyers. To ensure low-carbon products become competitive and investment is sustained over time, the framework should be broader in scope. This would enable more industrial sectors to benefit while catalysing private, as well as public, sources of demand.
The Industrial Accelerator Act provides an important first step in supporting lead markets for low-carbon industrial production in Europe, where no measures currently exist. But to better support competitiveness and climate neutrality objectives, co-legislators must now reinforce the IAA with more sectors and stronger demand-measures.
– Eadbhard Pernot, Secretary-General, Carbon Management Europe (formerly ZEP)
The Industrial Accelerator Act aims to strengthen the competitiveness of the low-carbon industry. To succeed, both private and public demand are neededto create stronger market signals and drive effective competition and investment in clean industrial production.
– Cristiana Foglia, Policy Officer, Carbon Management Europe (formerly ZEP)
Reinforcing demand for low-carbon products is key to scaling up industrial carbon management technologies, which are essential to decarbonise energy-intensive sectors. Broad coalitions of industry, manufacturing, research, and civil society have already called for the introduction of robust lead market measures in 2024, as well as recently in an open letter and a joint statement coordinated by Carbon Management Europe and E3G.
As the legislative process begins, the European Parliament and the Council have the opportunity to reinforce the framework with private-demand measures to reduce financing barriers and regulatory asymmetries affecting low-carbon products. This is key to positioning the EU as a leader in net-zero industrial production while delivering its climate targets.
About Carbon Management Europe (formerly ZEP)
Carbon Management Europe is the official advisor to the European Union on industrial carbon management. Its mission is to enable and accelerate the deployment of carbon management technologies across Europe to help achieve climate neutrality.
Since 2005, the platform has brought diverse stakeholders together to share knowledge, find common ground, and turn technical expertise into science-based policy advice for EU institutions and European governments.
For press enquiries: Amelie Tremolieres, amelie.tremolieres@carbonmanagementeurope.org
Learn more: www.carbonmanagementeurope.org | LinkedIn