Critical Chemicals Alliance Launch Seen as Turning Point for Europe’s Chemical Industry

Critical Chemicals Alliance Launch Seen as Turning Point for Europe’s Chemical Industry

(IN BRIEF) Cefic has welcomed the launch of the Critical Chemicals Alliance, calling it a crucial step in implementing the EU’s Chemical Industry Action Plan at a time of mounting closures and declining investment across Europe’s chemical sector. The association stressed the need to move rapidly from policy diagnosis to delivery, with concrete outcomes expected as early as the first half of 2026. Cefic urged the Alliance to adopt an evidence-based, value-chain approach to assessing criticality and resilience, address competitiveness holistically, and ensure Europe retains sufficient, competitive chemical production to support a resilient and low-carbon economy.

(PRESS RELEASE) BRUSSELS, 14-Jan-2026 — /EuropaWire/ — Cefic has welcomed the first General Assembly of the Critical Chemicals Alliance, describing it as a pivotal milestone in turning the European Commission’s Chemical Industry Action Plan into tangible progress. With Europe’s chemical sector facing an accelerating wave of plant closures and shrinking investment, Cefic stressed that the creation of the Alliance comes at a decisive moment when policy discussions must now be translated into concrete action.

In recent years, the European policy framework for industry has undergone a notable shift. From the Antwerp Declaration in 2024 to the launch of the Clean Industrial Deal and the Chemical Industry Action Plan in 2025, policymakers have increasingly acknowledged the chemical industry as a cornerstone of Europe’s industrial base and strategic autonomy. According to the company’s press release, the establishment of the Critical Chemicals Alliance now places responsibility on all stakeholders to move from strategic recognition to practical delivery.

Cefic Director General Marco Mensink highlighted the urgency of the task ahead, noting that the Alliance must produce meaningful outcomes within a short timeframe. He emphasised that results delivered in the first half of 2026 should directly support competitive chemical production, strengthen supply chain resilience and reinforce Europe’s industrial foundations, while enabling innovation and the transition to a low-carbon economy. Achieving this, he said, will require robust, evidence-based assessments of criticality and resilience, guiding strategic investment not only in individual molecules and sites, but across the broader chemical ecosystem that supports multiple value chains.

A central theme for Cefic is the need for a shared and clearly stated objective among the European Commission and Member States: maintaining sufficient, competitive chemical production capacity within Europe. As many chemical substances underpin several industrial value chains, Cefic argues that the Alliance’s work should extend beyond a narrow focus on selected “critical” molecules or locations. Instead, it should also address cross-cutting structural challenges affecting the sector as a whole, while recognising that some value chains may require more immediate intervention.

Cefic also underlined the tension between urgency and complexity. While deep structural reforms inevitably take time, the current pace of capacity losses means that delays carry significant risks. Cefic therefore called for early, short-term deliverables with clear timelines and responsibilities for each Alliance working group. At the same time, the organisation cautioned that Europe’s chemical industry is highly interconnected, with integrated production sites, industrial clusters and strong links to upstream and downstream sectors. Decisions taken in isolation can have far-reaching consequences across entire value chains.

The association expressed strong support for developing a neutral, transparent and measurable methodology to assess both criticality and resilience. Given that most chemical molecules are essential to at least one value chain, Cefic believes that criticality should be assessed through a value-chain lens rather than predetermined lists. Resilience, in this context, should encompass not only crisis preparedness but also Europe’s capacity for growth, innovation and technological leadership.

Finally, Cefic urged the Alliance to address competitiveness in a comprehensive manner. Rather than focusing solely on individual support measures or relying heavily on state aid, which risks fragmenting the single market, the Alliance should pursue a coherent package of structural solutions. These include energy and carbon policy, demand-side incentives for low-carbon and circular products, trade defence instruments, predictable regulation, and improved access to finance for innovation and scale-up. Cefic concluded by reaffirming its commitment to contributing constructively to the Alliance’s work, emphasising that the industry is seeking fair conditions to compete and invest in Europe, not protection from competition.

Media contact:

Ellen Mulder
Media Manager
media@cefic.be

SOURCE: Cefic