The European Commission has approved a €3.8 billion German state aid program designed to support energy-intensive industries through temporary electricity price relief.
The scheme will run from January 2026 through December 2028 under the EU’s Clean Industrial Deal State Aid Framework.
The program targets industries exposed to global competition and high relocation risk due to elevated energy costs.
To receive support, companies must reinvest part of the aid into climate-friendly measures such as:
- Electrification projects
- Energy efficiency upgrades
- Decarbonization technologies
The European Commission said the package is intended to strengthen competitiveness while accelerating the transition to net-zero industry.
Steel Sector Seeks More Flexibility
Germany’s steel industry welcomed the move but said current rules may limit effectiveness.
The German Steel Federation (WV Stahl) continues to call for a reliable electricity price of €50/MWh, including taxes, grid charges, and levies, to maintain global competitiveness.
VietnamSteel by Hoa Sen Group
