Summary: The EU is on track to miss a U.N. deadline to update its climate goals amid splits over a 2040 emissions target and whether to allow foreign carbon credits. The delay clouds investment plans for power, steel and autos.
Why it matters
Without a 2040 anchor, utilities and heavy industry face fuzzier carbon‑price paths and subsidy signals, complicating capital budgets and power‑market hedging.
Key facts
- Commission proposal: −90% by 2040 vs. 1990.
- Deadlock: Germany, France and Poland want leaders to settle the 2040 fight first.
- Business view: better to lock a hard target than to slip into a patchwork of national promises.
What to watch
October leaders’ summit; final language on credits; sectoral pathways for power, cement, and autos.