INEOS is disappointed that the EU Chemical Industry Action Plan fails to address the urgency of industry’s position.

“The Chemical Industry Action Plan is too little, too late. It fails to address the real issues, while the US and China race off with the keys to our industrial base. Europe talks, they act, and that’s why investment, innovation and jobs are packing their bags and heading elsewhere,” Tom Crotty, Director of Corporate Affairs, INEOS, said.

Crotty further added: “The Plan fails to tackle two of the most immediate pressing threats to the survival of Europe’s chemical industry: firstly, the high cost of gas and secondly, the escalating cost of carbon emissions. Without urgent and bold action in these areas, Europe’s competitiveness will continue to erode.

“Look at our site in Cologne. It is one of the most advanced integrated petrochemical facilities in Europe. Compared to the US, our gas bill is €100 million higher. Electricity is €40 million more. And our carbon costs are heading towards €100 million annually. That’s €240 million in additional cost every year, just to operate in Europe.

“This is not a level playing field. In the past two years alone, over 20 chemical plants have closed across the continent. Investment and jobs are shifting to regions with cheaper energy, no carbon penalties, and industrial policies that support long-term growth. If this continues, Europe will face accelerating deindustrialisation, losing its skills base, weakening supply chains, and shifting emissions and jobs abroad.

“Europe needs more than ambition, it needs action. Immediate reduction of gas pricing and removal of carbon costs must be the next step if we are serious about maintaining a chemical industry in Europe.”