Chemicals' competitiveness focus of new high-level group[de] 

In a bid to guarantee the future health of one of Europe's largest manufacturing sectors, the Commission launched on 10 September a "High Level Group on the Competitiveness of the European Chemicals Industry", consisting of commissioners and senior policymakers from the public and private sectors and civil society. 

The aim of the initiative is three-fold. 

Firstly, to strengthen the competitiveness of this sector. 

Fears that the industry could see a slowdown due to recent oil and feedstock price hikes and the adoption, in December 2006, of stringent new European rules on the Registration, Evaluation and Authorisation of Chemicals (REACH), aimed at ensuring that importers and producers of chemicals carry out basic health and safety testing for their products (EurActiv 13/12/06), have been further heightened by increasing competition from low-cost emerging economies, such as China, India and the Gulf States. 

The group will thus examine how to continue attracting investments towards Europe in view of maintaining current high levels of employment in the sector. 

Secondly, the group will seek to identify how to raise the profile of this sector – which, according to the Commission, is often perceived negatively by citizens, despite the fact that it shapes most of their daily lives through its contributions both to traditional sectors such as agriculture, construction, textiles and footwear and to high-tech industries such as automobiles, modern healthcare and electronics. 

Lastly, the group will look to adapt this highly energy-intensive sector to the challenges posed by climate change, while taking advantage of its potential to develop energy-saving technologies, including biofuels. 

European Commission Vice President Günter Verheugen, who will chair the group, said: "The EU chemicals industry is a world-leader today and makes an enormous contribution to growth and jobs in Europe. However, there are clear signs that it is facing unprecedented challenges both from the effects of global change and the expectations of our citizens. With this initiative we aim to ensure the right framework conditions for the chemicals industry to continue operating and investing in the EU on a sustainable basis."