For Europe to lead in sustainable industry and achieve its climate goals, the Clean Industrial Deal must be bold, ambitious, and city-focused.

Cities play a crucial role in implementing the Green Deal and achieving the goals of the Clean Industrial Deal—which aims to turn decarbonisation into a growth driver for European industries. Cities demonstrate that industrial policies and climate action can coexist and create quality jobs, and that EU-level and national policies are supported through concrete local actions.

Local leaders are instrumental in advancing climate and social objectives. They ensure sustainable growth is integrated into urban development strategies and that communities and workers most impacted by the transition are included and protected. While national governments provide essential resources, city governments are uniquely placed to support small and medium-sized enterprises (SMEs), labour organisations, and local businesses, facilitating a just transition that leaves no one behind.

Cities also drive sustainable employment. According to C40 data, investing in good green jobs could boost employment by 30% compared to business-as-usual approaches, with significant health and environmental benefits. Today, European C40 cities lead the way, with 2.3 million green jobs, representing approximately 8% of all jobs in these cities, with 1.3 million jobs in sectors like renewable energy and waste collection, and nearly 1 million jobs indirectly supporting green industries.

Cities have the potential to turn climate ambition into economic opportunity—but they need the right tools: direct funding, a strong governance role, and streamlined access to investment.

To fulfil these ambitious goals, the Clean Industrial Deal must:

  • Align EU climate and industrial goals;
  • Strengthen innovation hubs and public-private collaborations;
  • Mobilise public and private capital for climate action;
  • Ensure a just transition and support skills and quality green jobs; and
  • Leverage public procurement for innovation and clean investment.

Climate targets and industrial policies can go hand in hand, and cities are demonstrating how:

Madrid: Madrid’s TándEM project, focusing on skills development and labour inclusion, provides professional training in building retrofit and renewable energy installation to 61 people from vulnerable groups—migrants, unemployed youth and women.

London: London is supporting adult learning, workforce development and inclusion to meet the needs of the green sector. The Mayor’s Green Skills Academies and Skills Bootcamps bring together employers and training providers to deliver industry-relevant training to ensure Londoners have the skills they need to enter good green work.

Rotterdam: The BRIDGE programme supports schoolchildren to choose vocational studies in green areas, improving their access to good-quality jobs and helping companies find essential workers.

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