EU Environment Ministers Delay Decision on 2040 Climate Targets

EU environment ministers, meeting on Friday, September 12, 2025, failed to reach consensus on a new, legally binding 2040 climate target, pushing the decision to heads of government and raising doubts about the bloc’s ability to meet a mid-September deadline for submitting updated climate plans to the United Nations ahead of COP30. The proposed target—a 90% reduction in net greenhouse gas emissions by 2040 compared to 1990 levels—has split the EU, with countries like Denmark, Spain, and the Netherlands in favor, while France, Poland, and Italy have expressed reservations and requested that the matter be elevated to the European Council, where unanimity is required. The delay comes as Europe grapples with record heatwaves and wildfires, underscoring the urgency of climate action but also the political and economic tensions surrounding the transition. The European Commission argues that a clear, ambitious target is essential to provide certainty for investors and keep the EU on track for net zero by 2050, but some member states are concerned about the economic and industrial impacts of rapid decarbonization, especially as defense spending and support for struggling industries compete for priority. Diplomats are exploring compromises, such as allowing a greater share of the target to be met through international carbon credits or linking the climate goal to adjustments in other EU policies, but environmental groups warn that relying on offsets could undermine the integrity and ambition of the EU’s climate efforts. If no agreement is reached soon, the EU risks missing its international climate reporting deadline, potentially weakening its position at the upcoming global climate summit. The Coalition for Higher Ambition, a broad alliance of European businesses, cities, and civil society, has urged leaders to adopt a science-based 2040 target of at least 90% domestic emissions cuts, warning that delays or dilution of ambition will increase costs and risks for society and the economy. They specifically oppose the integration of international carbon credits into the EU target, arguing it would delay the transition, increase long-term costs, and weaken investment certainty within the bloc. The group also emphasizes the need for binding national targets in key sectors and cautions against turning the EU Emissions Trading System into an offsetting mechanism through the inclusion of carbon removals. As the debate moves to the European Council in October, the outcome will signal whether the EU can maintain its leadership on climate policy or if internal divisions will stall progress ahead of critical international negotiations.