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The Clean Industrial Deal recognises the role of competitiveness in achieving decarbonisation goals. However, it overlooks critical sectors that support manufacturing and provide essential clean mobility services. Ensuring all decarbonisation solutions are implemented in a cost-effective manner is equally essential.
EU | Brussels

What the Clean Industrial Deal means for road transport

27 Feb 2025 · Environment

The Clean Industrial Deal recognises the role of competitiveness in achieving decarbonisation goals. However, it overlooks critical sectors that support manufacturing and provide essential clean mobility services. Ensuring all decarbonisation solutions are implemented in a cost-effective manner is equally essential.

The Clean Industrial Deal, proposed by the European Commission, outlines concrete actions to turn decarbonisation into a driver of growth. Yet, it fails to consider key parts of the logistics supply chain that sustain EU manufacturing. Road transport is a vital component of supply chains – including for intermodal transport and first- and last-mile delivery – and overall sustainable mobility.

Moreover, decarbonisation measures must be both effective and cost-efficient. The existing grid is ill-equipped to handle the increased demand from widespread vehicle electrification, raising concerns about energy availability and potential supply chain disruptions.

IRU EU Director Raluca Marian said, “IRU welcomes the Clean Industrial Deal for the importance it places on competitiveness in meeting decarbonisation targets. However, it completely falls short by omitting critical sectors that support the manufacturing industry and deliver crucial sustainable mobility services.”

“Similarly, while the European Grid Package, set for early 2026, is a small step forward, the EU needs a harmonised framework to ensure grid upgrades that support the widespread adoption of battery-electric vehicles, including priority access for transport operators,” she added.

Measures to stimulate demand

The planned revision of public procurement directives, requiring public authorities to prioritise strategic procurement and award contracts based on environmental criteria, is a positive step. But the greening of corporate fleets initiative remains a concern.

High upfront costs for battery-electric vehicles (BEVs) and limited charging infrastructure continue to be major barriers for the private sector. Public procurement can help de-risk investment, drive economies of scale, lower BEV costs for private fleets, and build market confidence. However, a clear distinction must be made between public and private funding.

The greening of corporate fleets initiative risks imposing purchasing mandates on private fleet owners. Setting zero-emission vehicle (ZEV) targets for private operators would restrict ownership rights without clear justification, particularly given the lack of necessary enabling conditions. 

“In a market economy, demand regulation should only apply in cases of market failure, which is not evident. Many operators are already adopting ZEVs when the right conditions are in place. The priority should be to establish enabling conditions for all green transport technologies rather than impose restrictive mandates,” said Raluca Marian.

Sectoral implementation

The European Commission has stated that the Clean Industrial Deal will serve as a framework for engaging with industry actors, including SMEs, to develop sectoral transition pathways and guide investment decisions. There is strong anticipation for upcoming plans specific to road transport.

Following the Strategic Dialogue on the Future of the Automotive Industry, launched in late January, the Industrial Action Plan for the Automotive Sector is set to be presented on 5 March. IRU calls for all existing decarbonisation solutions, including carbon-neutral fuels, to be integrated into a comprehensive strategy. This would complement the proposed strategy and support a targeted amendment of the CO₂ standards regulation, as outlined in President Ursula von der Leyen’s Political Guidelines.

The Sustainable Transport Investment Plan is also eagerly awaited. While the focus on expanding recharging infrastructure is welcome, additional measures are needed to establish the enabling conditions for road transport decarbonisation.
Supporting all green technologies, along with incentives for combined and intermodal transport, will be essential for a successful transition.