European leaders meeting in Brussels on Thursday are expected to address the EU’s postponed emission reduction goals for 2040, following divisions over whether to maintain the bloc’s ambitious plans or scale them back. Although the topic is not formally on the summit agenda, several diplomats suggest the issue will likely be discussed during dinner talks.
The EU has committed to achieving carbon neutrality by 2050 and boasts a 37 percent reduction in emissions compared to 1990 levels. Now, the bloc faces the challenge of setting an interim target for 2040, with an announcement anticipated on July 2.
Last year, the European Commission proposed a 90 percent cut in emissions by 2040 compared to 1990, reflecting urgent efforts to tackle accelerating climate impacts such as wildfires and floods. However, political priorities have shifted, with increased focus on supporting European industry amid stiff competition from the United States and China.
Countries including the Czech Republic and Italy have labelled the 90 percent goal unrealistic. France has cautioned against setting targets without clear plans for implementation. An adviser to President Emmanuel Macron emphasised the need to safeguard industrial competitiveness while pursuing decarbonisation, highlighting the importance of financial support and protections against “carbon leakage” — where companies relocate to regions with looser climate regulations.
The Commission is reportedly considering allowing more flexibility, such as the option to buy carbon credits on international markets to meet targets. This proposal faces opposition from environmental groups who argue it would undermine the EU’s climate commitments by outsourcing emissions reductions and lowering mid-term ambitions.
Sven Harmeling, head of climate at CAN Europe, warned that “President Macron risks derailing Europe’s climate ambition.”
