EU-US cleantech market to drive green transition

According to ICIS news, if the EU and the United States can integrate their markets in terms of standardization, regulatory consistency, capital flows and mutually reinforcing incentives, the deployment of clean technologies can be expanded and accelerated.

Ann Mettler, Vice President of European Business at Breakthrough Energy, an international organization that aims to stimulate global development and sustainable energy technology innovation, said in an interview with ICIS that in the past 10 years, U.S. investors have participated in EU clean technology transactions. The number of EU investors participating in U.S. cleantech deals increased threefold.

"There are real benefits to closer integration. It doesn't have to be complete alignment, but mutual recognition of standards and regulations is also important," Mettler noted. For example, the wind industry is currently struggling on both sides of the Atlantic, which Not only because of supply chain issues, but also because of excessive customization, which drives up costs and affects profitability.

At a time when speed and scale matter more than ever, standardization could be a key catalyst in accelerating the large-scale deployment of clean technologies, including wind energy. In a recent success story, the EU and the US agreed at the recent EU-US Trade and Technical Committee (TTC) on the production of universal chargers for heavy-duty electric vehicles. However, this alliance should be extended to large-scale projects, including the coordination of grid equipment on both sides of the Atlantic.

Mettler said that the EU and the United States are currently working to harmonize standard definitions of sustainable aluminum and steel, helping to form a "carbon club" where different countries with similar standards can trade freely, which in turn can incentivize those with higher carbon footprints. of countries working to reduce carbon emissions in order to benefit from the trade. The emergence of the “Carbon Club” coincides with the EU launching its Carbon Border Adjustment Mechanism (CBAM) in 2026, which aims to balance the carbon prices of EU products and imported goods traded under the EU Emissions Trading Scheme (ETS).

Another important priority for the EU and the US will be the digitization of public institutions, with a particular focus on licensing that will help speed up the deployment of clean technologies, especially wind, solar and grids.