SUMMARY

The European Commission has introduced two major initiatives aimed at supporting the EU chemicals industry: a simplification Omnibus Package and targeted Action Plan to address sector-wide challenges and reduce regulatory complexity.

MORE DETAILS

1.      Simplification Package (Sixth Omnibus)

This proposal is intended to ease compliance burdens and cut red tape for chemical companies, while maintaining strong health and environmental safeguards. The estimated annual savings for industry exceed €360 million.

Key updates include revised labelling requirements under the CLP Regulation to simplify information for businesses.

2.      Chemicals Industry Action Plan

The strategy aims to strengthen the resilience, innovation capacity, and global competitiveness of the sector, with a focus on reducing energy costs, addressing unfair trade dynamics, and boosting demand.

Key proposed actions include:

• Broader access to EU-level support for high energy users and measures to accelerate the uptake of low-carbon hydrogen.
• Creation of a Critical Chemicals Alliance to identify strategic sites, coordinate investment (including IPCEIs), and improve trade monitoring.
• Continued work on limiting PFAS emissions, while allowing essential uses where no viable alternatives exist.

3.      Reform of the European Chemicals Agency (ECHA)

A proposal to revise ECHA’s founding regulation was also published, aiming to equip the agency with the resources and flexibility needed to manage its growing responsibilities across chemical classification, biocides, hazardous chemical flows, and environmental protection.

A more comprehensive Q&A of the initiatives is available here.