Recently released by the European Commission, the EU’s Global Climate and Energy Vision outlines its strategic

blueprint for global climate governance and energy transition through ambitious targets and a comprehensive

policy package.

 

This document serves not only as the EU’s action plan for combating climate change but also reflects deeper

strategic considerations: reshaping industrial competitiveness through green transformation and establishing

dominance in global climate governance. Yet behind its lofty goals, unilateral policy tendencies are sparking

widespread international debate, casting uncertainty over the strategy’s implementation.

 

The core of the EU’s strategy clearly targets “industrial breakthrough,” with clean technology manufacturing

identified as the primary breakthrough point. The document explicitly states the goal of elevating the EU’s clean

technology manufacturing capacity to capture 15% of the global technology market share, signaling the EU’s

intent to transform from a “green technology importer” into a “global supplier.”

 

To achieve this objective, the EU has established a multi-dimensional advancement system.

 

It builds international promotion platforms through mechanisms like organizing business forums and establishing

the “EU External Clean Transition Business Council,” helping domestic enterprises seize global market opportunities;

Within the €200 billion budget of the “Global Europe” financing instrument for 2028-2034, 30% is earmarked

specifically for climate and environmental cooperation. This not only provides funding for partner countries’ clean

transitions but also indirectly facilitates the export of EU technologies. Concurrently, the EU is strengthening policy

coordination among member states and promoting the alignment of global carbon pricing systems with EU standards,

paving the way for domestic industries at the regulatory level.

 

 

Member states like Germany have taken the lead, setting a target of 80% renewable energy by 2030, providing

practical support for the EU’s overall strategy.

 

Among the strategic initiatives, the Carbon Border Adjustment Mechanism (CBAM), set to take effect in 2026,

stands as the most contentious focal point.

 

The EU asserts this mechanism aims to impose “carbon tariffs” on high-emission imports, ensuring imported

goods bear equivalent carbon costs to domestic products and preventing “carbon leakage” from undermining

EU climate goals. Yet this seemingly equitable policy has sparked fierce international backlash.

 

BRICS countries explicitly rejected the mechanism at their 16th Summit, denouncing it in the Kazan Declaration

as a “discriminatory protectionist measure” that violates international law and the principle of “common but

differentiated responsibilities” established by the Paris Agreement.

 

For developing nations, the impact of carbon tariffs is particularly severe.

 

India’s relevant industries could face tariffs as high as 20%-35%, while its per capita income is only one-twentieth

of Europe’s, making the economic pressure of green transition far beyond its capacity. A United Nations Conference

on Trade and Development report also warns that this mechanism could lead to declining exports from developing

countries, further exacerbating global development imbalances.

 

A deeper contradiction lies in the EU strategy’s underlying logic of “rule hegemony.” Data shows that from the

Industrial Revolution to 2020, Europe and North America accounted for a cumulative 59.5% of carbon emissions.

Developed nations should bear greater responsibility for emissions reduction.

 

Yet the EU seeks to shift part of the emissions reduction cost to developing countries through carbon tariffs—a

practice that clearly violates the principle of fairness in climate governance.

 

More alarmingly, the scope of carbon tariffs is expanding. Initially targeting industries like cement and steel,

they may eventually extend to sectors such as automobiles and electronic devices—effectively erecting

“green trade barriers” under the guise of environmental protection.

 

This unilateralist tendency has triggered a chain reaction. The United States has proposed its own Carbon

Border Adjustment Mechanism bill, while the United Kingdom announced plans to implement a similar policy

by 2027, posing risks of fragmentation to the global trading system. Meanwhile, BRICS nations are formulating

collective countermeasures, potentially including retaliatory tariffs to safeguard their interests. Escalating trade

friction could ultimately backfire on the EU economy.

 

The EU’s climate and energy strategy also faces multiple practical challenges. The process of “decoupling”

energy supply has reached an impasse. While seeking to reduce dependence on Russian energy, the EU’s

reliance on U.S. liquefied natural gas (LNG) has surged to 45%. However, U.S. natural gas prices are significantly

higher than Russian gas, increasing economic operating costs.

 

Progress in renewable energy capacity installation has lagged. In 2024, renewable energy accounted for only

23% of the EU’s energy mix, falling far short of the 42.5% target set for 2030.

 

In the global clean technology race, the EU faces fierce competition from China and the US. China already

commands 70% of the global photovoltaic equipment market and 60% of the power battery market, while

the US is leveraging the Inflation Reduction Act to seize emerging sectors like green hydrogen and energy

storage. The EU’s target of a 15% market share faces severe challenges.

 

Furthermore, research by the Asian Development Bank indicates that even with full implementation of carbon

tariffs, global carbon emissions would decrease by less than 0.2%, highlighting the policy’s limited climate

benefits and underscoring its trade protectionist nature.

 

Global climate governance requires the wisdom of multilateral collaboration, not the capriciousness of

unilateralism. The EU’s climate and energy vision could have been a positive force for green transformation

if it had abandoned protectionist tendencies and promoted global climate cooperation through equal

consultation. However, its current policy orientation of shifting burdens onto neighbors not only struggles

to gain broad international acceptance but also risks falling into a double bind between “strategic goals”

and “international trust.”

 

Moving forward, the EU’s ability to balance its own interests with global responsibilities—and adjust

unilateral policies to align with multilateral governance needs—will directly determine the ultimate

effectiveness of its climate and energy strategy. This will profoundly shape the trajectory of global climate

governance. In the face of climate change as a global challenge, only by upholding fairness and justice

while deepening international cooperation can we truly achieve a sustainable green transition.

 

The core pillars of this global vision include:

 

Building mutually beneficial economic partnerships: Leveraging trade agreements, the Global Gateway

strategy, and targeted business-to-business cooperation to integrate supply chains and share growth

dividends with international partners.

 

Strengthening multilateralism: Advancing climate action through institutions like the UNFCCC, G7, and

G20 to ensure implementation of Paris Agreement targets, such as tripling global renewable energy

capacity by 2030.

 

Expanding global finance: Reforming the multilateral development bank system and mobilizing public and

private capital for clean transitions in developing economies through tools like the proposed Global Europe Fund.

 

Tailored diplomatic outreach: Implementing customized strategies for key global players, including cooperation

and competition with China, partnerships with the United States and India, and deepening integration with

candidate countries and neighbors. Strengthening Security: Integrate the “climate-peace-security nexus”

into foreign policy to address climate-exacerbated conflicts and threats, while combating foreign disinformation

campaigns undermining the clean transition.

 

An Irreversible Clean Energy Transition

 

A decisive shift in global investment flows confirms this transition has become an economic reality.

 

Investment Ratios: For every €1 invested in fossil fuels globally, €2 flows into clean energy. Clean energy

investment reached €2 trillion in 2024, while fossil fuel investment stood at just €1 trillion.

 

Economic Decoupling: The global economy is progressively decoupling from emissions. In 2023, global

economic growth rose 3%, while emissions increased only 0.8%. Within the EU, GDP grew 68% between

1990 and 2023, yet emissions fell 37%.

 

Market Growth: The global clean technology market is projected to expand from €600 billion in 2023 to

over €2 trillion by 2035.

 

Cost Declines: Solar power costs fell by 68%, and onshore wind power costs dropped by 56%. Clean

Technology Employment: Globally, 36.3 million jobs are supported. Carbon Pricing: By 2025, 80 jurisdictions

will implement carbon pricing (up from 40 in 2015).

 

EU Strategic Positioning and Industrial Vision

 

Against this global backdrop, the EU’s strategy is to secure a fair share of the global clean technology market

while decarbonizing its own economy. This requires protecting and promoting European industrial

development amid fierce global competition.

 

Demonstrating European Competitiveness

 

The EU’s “Clean Industry Deal” is its business plan to transform decarbonization into a growth engine.

 

Net-Zero Industry Act: This legislation establishes the EU’s goal to produce 15% of global clean technology

demand. By 2035, the EU market is projected to reach €375 billion.

 

Research and Innovation Leadership: In 2023, EU member states invested nearly €8.5 billion in Energy Union

research. Combined with over €2 billion from the Horizon Europe program, the EU leads major economies

in public spending on clean energy R&D.

 

New Legislative Momentum: The EU is advancing multiple initiatives, including the Industrial Acceleration Act

aimed at creating a leading market, a battery promotion scheme, and the European Competitiveness Fund to

reduce private financing risks.

 

Challenges to China’s Dominance

 

The primary challenge to EU industrial leadership stems from China’s aggressive state-backed industrial policies,

which have enabled it to capture the lion’s share of the clean technology value chain.

 

Market Share: In 2024, China manufactured over 70% of the world’s electric vehicles, 80% of wind turbines,

and 90% of solar photovoltaic modules.

 

EU Response: The EU strategy includes securing reliable supply chains and defending its rights through trade

remedy tools to counter trade distortions caused by state-supported overcapacity.

 

EU Internal Progress and Decarbonization Model

 

The EU demonstrates that its decarbonization model is also an economic growth paradigm.

 

Progress Toward Goals: The EU is on track to achieve its 2030 target of at least a 55% reduction in net emissions

and is committed to climate neutrality by 2050.

 

REPowerEU Plan Yields Significant Results: This initiative accelerated the clean energy transition and aimed to

gradually reduce dependence on Russian energy. By 2024, renewable energy contributed 47% of the EU’s electricity supply.

 

EU Emissions Trading System (ETS) and Carbon Border Adjustment Mechanism (CBAM): Since 2005, the EU ETS

has facilitated nearly 50% emissions reductions in power and industry sectors. CBAM prevents carbon leakage

while incentivizing decarbonization abroad.

 

Consumer Savings: New solar and wind capacity installed between 2021 and 2023 saved EU electricity consumers

approximately €100 billion.

 

Integrating Climate, Security, and Peace

 

The strategy explicitly acknowledges the “triple link between climate, peace, and security,” calling for deeper

integration of climate impacts into EU foreign policy—including the Common Security and Defense Policy—to

address how climate change exacerbates vulnerabilities, conflicts, and threats to critical infrastructure.

 

Ten-Point Strategic Action Plan

 

The document concludes with ten key actions to implement the global vision:

1. Maintain political momentum: Implement the Paris Agreement, triple renewable energy

2. Support EU clean tech abroad: Business forums, promotion missions

3. Connect global enterprises: Through global gateway investment hubs

4. Leverage Global Europe tools: Support EU business alignment with climate policies

5. Build resilient clean value chains: New FTAs, clean trade partnerships

6. Pilot trilateral cooperation: EU + developed partners + developing countries

7. Strengthen regulatory cooperation: Utilize TAIEX mechanism and EU expertise

8. Reform the global financial system: Innovate climate finance models, advance multilateral development bank reforms

9. Expand adaptation/resilience financing: Prioritize support for Least Developed Countries and Small Island Developing States

10. Enhance climate security and counter disinformation: Integrating climate issues into defense partnerships

Finally, the EU envisions a Clean Industrial Revolution to enhance competitiveness and energy security while driving a just

global transition. The Clean Industry Agreement serves both as a growth strategy and a climate diplomacy tool,

positioning Europe as a trusted global partner and supplier of clean technologies. Through open markets, resilient

supply chains, and science-driven innovation, the EU is establishing itself as a global leader in clean and resilient economies.