EU carbon rules / Product life cycle / L3 Manufacturing
L3 15 regulations 2 compilations
Manufacturing
Manufacturing inside the EU brings the ETS and the Industrial Emissions Directive into play; embedded-emissions data is generated here.
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Regulations at this stage
| Regulation | Reference | Status | Key date | Applies to |
|---|---|---|---|---|
| EU ETS Directive | Directive 2003/87/EC | In force | 2003 | Power, energy-intensive industry, aviation (within the EU/EEA) |
| ETS Revision (Fit for 55) | Directive (EU) 2023/959 | In force | 2023 | All sectors |
| ETS Transitional Rules for Free Allocation | Delegated Reg (EU) 2019/331 (as amended by 2024/873) | In force | 2019 / 2024 | Industrial installations covered by the EU ETS |
| State Aid Guidelines on Indirect Cost Compensation (EEI) | Guidelines on EEI compensation | In force | continuous | Electricity-intensive sectors (steel, aluminium, chemicals, paper, etc.) |
| Renewable Energy Directive RED III | Directive (EU) 2023/2413 | In force | 2023 | Energy producers and consumers |
| Electricity Market Reform | Regulation (EU) 2024/1747 | In force | 2024 | Electricity market participants |
| Industrial Emissions Directive IED 2.0 | Directive (EU) 2024/1785 | In force | 2026-07-01 transposition | Large industrial installations |
| Medium Combustion Plants Directive | Directive (EU) 2015/2193 | In force | 2015 | Operators of medium combustion plants |
| Clean Industrial Deal | COM(2025) 85 | In force | 2025-02 | Energy-intensive industries |
| CISAF State Aid Framework | C(2025) OJ C 2025/3602 | In force | until 2030-12-31 | Member State aid and industrial investment |
| Steel and Metals Action Plan | COM(2025) 125 (19.3.2025) | In force | 2025-03-19 | Steel and metals industry |
| Methane Regulation | Regulation (EU) 2024/1787 | In force | 2024 | Energy imports and production |
| Innovation Fund | ETS Directive, Article 10a(8) | In force | continuous | Low-carbon technology projects |
| Modernisation Fund | ETS Directive, Article 10d | In force | continuous | Beneficiary Member States |
| Industrial Decarbonisation Bank | Target approx. €100bn | In progress | being established | Industrial decarbonisation projects |
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Industry dossiers at this stage
- Iron, steel and steel products The sector with the heaviest carbon cost under CBAM; downstream products are proposed to be covered in 2028. NACE C24.1–C24.3
- Aluminium and non-ferrous metals Indirect emissions (the electricity mix) are the main variable in CBAM cost; proof of green power is the competitive edge. NACE C24.4–C24.5
- Cement, glass and ceramics Process emissions dominate; cement is directly covered by CBAM, and embodied carbon in building materials is spreading through public procurement. NACE C23
- Chemicals and fertilisers Fertilisers and hydrogen are already covered by CBAM; organic chemicals and polymers are candidates for the next extension. NACE C20
- Batteries, machinery, appliances and electronics The battery passport and carbon-footprint declaration are hard gates; metal parts in appliances and machinery face pressure as CBAM extends downstream. NACE C26–C28 et al.
- Pulp and paper Not on the CBAM list, but EUDR timber traceability and PPWR recycled-content rules determine market access. NACE C17
- Transport and logistics Shipping and aviation are directly priced by the ETS / FuelEU / ReFuelEU; freight surcharges are now standard. NACE H49–H52
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