The Clean Industrial Deal is an important step to build the clean, decarbonised and competitive European industry we need to thrive in the years to come.
The Deal is focused on heavy industry and sets out a high level of ambition for Europe’s re-industrialisation. While we welcome the goals and initiatives set out by the plan, we need to stress that a stronger commitment to cycling in the Clean Industrial Deal would mean faster, more cost-effective and less resource-intense progress toward Europe’s green goals.
The cycling industry ecosystem is driven by thousands of SMEs and employs over one million people in Europe today. The shift towards clean mobility can create an additional million jobs in Europe by 2030. We believe that the EU Declaration on Cycling's call for a ‘world-class European Cycling Industry’ needs to be better reflected in the overall plan and in the following initiatives in particular:
€100 Billion Investment in Clean Manufacturing
Bicycle production, particularly e-bikes and cargo bikes, is a fast-growing, high-value European industry. Directing a fair share of these funds to bike and component manufacturers would strengthen EU-based supply chains and reduce dependency on imports.
Simplified State Aid Rules
Easing access to state support for bicycle production, battery innovation, and micromobility infrastructure would accelerate Europe’s transition to clean mobility—alongside EVs and other green technologies – and reduce the strategic dependencies.
Circular Economy Act
Bicycle production hinges upon access to critical raw materials that need to be used in the most resource-efficient way possible. Policies supporting circular design, collection points for EoL components, in particular batteries, recycling, second-life batteries for e-bikes, and repair incentives need to be developed to accelerate the clean mobility and industry transition.
Energy and Critical Raw Materials Strategy
E-bikes are a low-resource alternative to electric cars, requiring fewer critical raw materials while offering a high return in CO₂ reduction. Integrating cycling into battery and material strategies ensures diversified, resilient supply chains.
Green VAT Initiative
Lowering VAT on bikes and repairs makes cycling more affordable and accessible while reducing emissions and public health expenditure. EU Member States should be strongly encouraged to apply the reduced VAT rates for the supply, rental and repairing services of bikes and e-bikes enabled by the VAT Directive.
Greening Corporate Fleets Initiative
The EU’s push for sustainable corporate fleets must include bicycles, e-bikes, and cargo bikes—not just electric cars. Many companies are already shifting to bike-based logistics and employee bike leasing. Stronger incentives and funding for cycling fleets would cut emissions faster and improve urban mobility.
Social Leasing Initiative: Unlocking Affordable Access to Bikes
The EU’s Social Leasing Initiative, designed to make sustainable mobility affordable, has huge potential to promote cycling. By ensuring bicycles and e-bikes are fully included in leasing programs, the EU can help millions switch to low-cost, clean, and efficient transport. This is a critical opportunity to make cycling accessible to low-income groups and reduce transport inequalities.
Sustainable Transport Investment Plan
The EU’s commitment to funding clean transport infrastructure must prioritize cycling networks alongside rail and EV charging. Safe, well-connected bike infrastructure is a low-cost, high-impact investment for sustainable mobility. This plan should ensure dedicated funds for cycling highways, bike parking, and multimodal connections.
The EU must recognize and actively support cycling as part of its clean industrial future. If Europe truly wants to cut emissions, reduce congestion, and boost local economies, the cycling industry ecosystem needs the full support of industrial and mobility policies.
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