France, Germany, Italy and Poland have called on the European Commission to develop a separate European action plan for the household appliances sector, which is one of the largest consumers of steel.

In a note obtained by Kallanish, the countries warn that the industry is under increasing pressure due to rising energy prices, increased raw material costs and unfair competition from producers from third countries.

Four states made this proposal before the meeting of the EU Council on Competitiveness, calling on the European Commission to recognize the sector as a strategic industrial ecosystem.

According to their estimates, the industry's contribution to the EU economy is about 79 billion euros. The sector directly or indirectly employs approximately 1 million people in 3,200 companies and 130 production sites in the European Economic Area.

The authors of the initiative emphasize that the connection with metallurgy is crucial for this market: the production of household appliances includes a wide value chain, which includes steel, plastics, electronics, logistics, repair and waste recycling.

The share of household appliances of Asian origin in the EU market increased from 15.3% in 2014 to 28.2% in 2024. During the same period, output in Europe decreased from 81.3% to 71.4%, which led to the closure of a number of enterprises.

According to the countries, the proposed action plan should combine short- and medium-term measures aimed at increasing competitiveness and ensuring the full operation of the single market. We are talking about strengthening market control and law enforcement, reducing excessive administrative burden on manufacturers, more efficient use of European financial instruments, increasing transparency of the origin of products and strengthening the policy of circular economy.

Additional steps to accelerate the transition to a green economy should include regular review of the CBAM cross-border carbon regulation mechanism and its further expansion as new criteria are prepared, Member States believe.

Responding to questions during a meeting of the Competitiveness Council on Thursday, Stephane Sejournay, Executive Vice President of the European Commission for Prosperity and Industrial Strategy, said that the commission has already taken steps to support the household appliances sector, including the Circular Economy Act, the CBAM review and the adjustment of trade relations with China. At the same time, he added that he would consider the need for a separate plan for the industry or a document that would combine existing measures.

The Association of Manufacturers of Household Appliances Applia warned earlier this month that sales of household appliances in the European market by the end of 2025 could amount to