Net-Zero Industry: what it is, what the EU aims to achieve, and which calls will fund it

Net-Zero Industry: what it is, what the EU aims to achieve, and which calls will fund it

Europe is no longer focusing only on decarbonisation. It is also focusing on building the industrial base that makes decarbonisation possible. In other words, the EU is pursuing a green reindustrialisation strategy designed to cut dependencies, strengthen supply chains and speed up the roll-out of clean solutions. In that context, Net-Zero Industry has become a core concept in discussions about competitiveness, strategic autonomy and industrial policy.

This article explains what Net-Zero Industry means, which EU initiatives are shaping it, the targets being pursued, practical examples, and—finally—a curated list of open and upcoming calls that are most closely aligned with this agenda.

What is Net-Zero Industry?

In practical terms, Net-Zero Industry refers to the industrial ecosystem that can produce, scale and deploy net-zero technologies across the full value chain: from component and equipment manufacturing, to industrial processes, infrastructure and large-scale deployment capabilities.

This concept combines three very concrete ideas:

  • Industrial decarbonisation: industry cuts direct and indirect emissions (energy use, processes, materials).
  • Manufacturing capacity: Europe grows local production of key net-zero technologies (for example, solar PV, batteries, electrolysers, heat pumps, grids, CO₂ capture and storage).
  • Scaling and resilience: the EU reduces supply risks, shortens time-to-market and supports demand conditions that accelerate adoption.

Put simply: installing renewables and electrifying demand is not enough on its own. Europe also wants a significant share of these solutions to be designed, manufactured and industrialised within Europe.

Net-Zero Industry in the EU: the Net-Zero Industry Act and the political push

The concept is most closely associated with the Net-Zero Industry Act (NZIA), a European framework aimed at strengthening the manufacturing ecosystem for net-zero technologies. This approach sits alongside the broader direction of EU industrial policy, where the climate transition and competitiveness are increasingly treated as two sides of the same coin.

The logic is clear: regions around the world are competing for factories, investment and skilled jobs. At the same time, supply-chain bottlenecks and geopolitical shocks have highlighted the cost of relying heavily on external manufacturing for critical clean-tech components. As a result, Net-Zero Industry has become a strategic lens for policy design: Europe wants to deploy clean technologies faster—and also secure the industrial capability to produce them.

What targets does Net-Zero Industry pursue?

Scaling EU manufacturing of net-zero technologies

One of the defining features of the EU’s approach is that it sets industrial objectives, not only climate ones. The NZIA includes a headline direction: the EU aims to strengthen its ability to manufacture net-zero technologies and components domestically so that supply matches a meaningful share of annual deployment needs by 2030.

Cutting dependencies and reinforcing supply chains

Net-zero technologies rely on complex supply chains: raw materials, refining, components, power electronics, specialised machinery, manufacturing lines and logistics. That is why Net-Zero Industry goes beyond “deployment” and pushes for whole-of-value-chain resilience—especially where strategic bottlenecks exist.

Speeding up net-zero projects

Another priority is execution. If an industrial project takes too long to be permitted, connected, financed or procured, investment will move elsewhere. The EU’s direction in this area focuses on reducing administrative friction, improving predictability and enabling faster scaling.

Supporting CO₂ capture and storage for hard-to-abate sectors

Some industrial emissions are difficult to eliminate quickly through electrification alone, particularly in cement, lime, steel and chemicals. For that reason, the European approach includes technologies such as carbon capture and storage (CCS) as a strategic pillar—treating CO₂ management as industrial infrastructure rather than a niche add-on.

EU initiatives shaping Net-Zero Industry

A policy “umbrella” for clean industrial capacity

In practice, EU initiatives connected to Net-Zero Industry are channelled into priorities that typically include:

  • Industrial electrification and grid reinforcement
  • Renewables and their manufacturing value chains (production equipment and components)
  • Storage and system flexibility (batteries, thermal storage, hydrogen)
  • CCUS (capture, utilisation and storage) for industrial decarbonisation
  • Efficiency and high-performance industrial solutions

This policy direction matters because it influences which topics and instruments become “hot” across EU funding programmes, including innovation actions close to market, scale-up, industrial pilots and procurement mechanisms.

Raw materials as an industrial enabler

Clean-tech manufacturing cannot expand without strategic raw materials. That is why EU policy also links net-zero manufacturing ambitions with measures that strengthen access to critical materials and recycling. The logic is straightforward: domestic manufacturing targets are hard to reach if inputs remain fragile or concentrated.

Real-world examples of Net-Zero Industry in action

1) Solar photovoltaics: from deployment to factories

Solar PV has moved from “does it work?” to “can it be produced competitively at scale?” This is where Net-Zero Industry becomes tangible: automation, high-throughput processes, new cell architectures, improved yields and reliable manufacturing equipment.

The next wave—particularly tandem PV—promises higher efficiency but demands industrial processes and equipment that can run reliably and economically at production scale.

2) Renewable fuels and RFNBO value chains

Electrification will dominate many sectors, yet it cannot fully address aviation, maritime transport and certain industrial processes in the near term. That is why renewable fuels—including RFNBOs (renewable fuels of non-biological origin)—are increasingly framed as a supply-chain and competitiveness challenge, not only an energy one. Industrial readiness, cost structures and integration barriers define whether these value chains can scale.

3) Public procurement as a market accelerator

A net-zero economy also needs early markets. Public procurement—especially pre-commercial procurement (PCP)—can create demand signals, reference customers and early scale for innovative solutions. From a Net-Zero Industry perspective, procurement mechanisms can help suppliers industrialise faster, reduce risk and accelerate adoption.

4) CCS as strategic industrial infrastructure

For hard-to-abate sectors, CCS is treated as a practical pathway to address residual emissions. That requires capture technologies, compression, transport infrastructure and storage capacity—each with engineering, permitting and investment challenges. This is a classic “industry + infrastructure” domain that fits the Net-Zero Industry lens.

Net-Zero Industry funding calls: the most closely aligned open and upcoming opportunities

Policy sets direction; calls set deadlines and budgets. The following selection focuses on opportunities that most clearly align with Net-Zero Industry, based on their emphasis on manufacturing, industrial scaling, value chains, competitiveness and deployment acceleration. Calls that are “green” but less central to net-zero manufacturing (for example, purely digital efficiency topics without a strong manufacturing link) are not prioritised here.

1) HORIZON-CID-2026-01-02 | R&I in Support of the Clean Industrial Deal: Clean Technologies for Climate Action (IA)

Objective (summary): This topic supports near-to-market clean technologies with a clear industrial pathway, prioritising measurable improvements (for example, circularity and cost performance) and a direct contribution to EU net-zero manufacturing capacity, aligned with Net-Zero Industry objectives. It is designed to push technologies towards deployment readiness and market uptake in European industrial sectors.
Deadline: 15 September 2026
Budget: €150.00 million

2) HORIZON-CID-2027-01-02 | R&I in Support of the Clean Industrial Deal: Clean Technologies for Climate Action (IA)

Objective (summary): This is the 2027 continuation of the Clean Industrial Deal approach, targeting clean-tech solutions that can scale and compete globally while strengthening European industrial value chains. The focus remains on acceleration to market, competitiveness and strategic impact on the EU’s net-zero manufacturing ecosystem.
Deadline: 15 September 2027
Budget: €140.00 million

3) HORIZON-CL5-2027-02-D3-15 | Production technologies for solar photovoltaics beyond the state-of-the-art (EUPI-PV Partnership)

Objective (summary): This call targets advanced manufacturing technologies for solar PV beyond the state of the art, with direct relevance to European industrial capacity. It supports innovations that improve performance, reliability and scalability of PV production—strengthening the EU’s ability to manufacture competitive solar technologies and reduce supply-chain dependency.
Deadline: 31 March 2027
Budget: €36.00 million

4) HORIZON-CL5-2027-07-D3-16 | Industrial processes and equipment for innovative, reliable and scalable tandem technologies (EUPI-PV Partnership)

Objective (summary): This topic focuses on industrial processes and equipment needed to scale tandem PV technologies reliably. It targets the critical gap between lab breakthroughs and factory-ready production—supporting manufacturable, robust and scalable solutions that can underpin European leadership in next-generation solar.
Deadline: 1 December 2027
Budget: €28.50 million

5) HORIZON-CL5-2026-02-D3-02 | Competitiveness, energy security and integration aspects of advanced biofuels and renewable fuels of non-biological origin value chains

Objective (summary): This call supports research and innovation that strengthens the competitiveness, energy security and integration of advanced biofuels and RFNBO value chains. It focuses on barriers, scenarios and actions that can improve industrial readiness and supply resilience—helping Europe scale renewable fuel value chains where electrification alone is not sufficient.
Deadline: 17 February 2026
Budget: €8.00 million

6) HORIZON-MISS-2027-04-CIT-05 | Boosting the transformation towards climate-neutral cities, the net-zero economy and open strategic autonomy through Pre-Commercial Procurement (PCP)

Objective (summary): This action uses pre-commercial procurement (PCP) to accelerate innovative solutions that support climate-neutral cities and a net-zero economy. While city transformation is the visible focus, PCP instruments can strengthen the industrial side by creating early demand for net-zero solutions and encouraging suppliers to industrialise and scale faster within Europe.
Deadline: 7 October 2027
Budget: €26.82 million

How to spot the “most Net-Zero Industry” call quickly

A fast filter helps avoid wasted effort. Calls typically sit closest to Net-Zero Industry when at least two of the following apply:

  1. they explicitly reference industrial competitiveness, manufacturing or value-chain reinforcement;
  2. they target net-zero technologies with strong industrial relevance (PV, batteries, electrolysers, heat pumps, grids, CCS, etc.);
  3. they include mechanisms that accelerate market uptake (industrial pilots, scale-up, PCP/procurement, standardisation, resilience criteria).

Net-Zero Industry turns the climate transition into an industrial strategy: manufacturing clean technologies in Europe, reinforcing value chains and accelerating projects with clear budgets and deadlines. The NZIA provides the policy direction, while the calls above illustrate where funding is being channelled for 2026–2027—especially towards manufacturing, industrial scaling and strategic competitiveness.

For organisations building or enabling clean-tech manufacturing—through equipment, industrial processes, supply chains, validation and deployment—these topics offer a strong alignment narrative and a practical route into European funding for net-zero industrial growth.