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Euronews
Euronews
Marta Pacheco

EU auditors question new fund backed by EU carbon border tax for polluting industries

European Union ECA

Plans for a new EU fund to help heavy industry cut carbon emissions have been criticised by the European Court of Auditors (ECA), which warns the proposal may be flawed in both design and impact.

The proposed Temporary Decarbonisation Fund, put forward by the European Commission in late 2025, aims to support sectors such as fertilisers, aluminium and steel. These industries are seen as at risk of relocating outside the EU due to strict climate rules.

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