The European Commission has approved a €1.1 billion French scheme to support strategic investments aimed at expanding clean technology (cleantech) manufacturing capacity, in line with the objectives of the Clean Industrial Deal. The measure is expected to contribute to the EU’s transition towards a net-zero economy and strengthen domestic industrial capacity in key strategic sectors.

The scheme was cleared under the Clean Industrial Deal State Aid Framework (CISAF), adopted on 25 June 2025. It marks the eighth cleantech manufacturing capacity measure approved under the framework, bringing the total support unlocked for such investments to more than €10 billion.

The French measure

France notified the €1.1 billion scheme to the Commission under CISAF rules. The measure is designed to incentivise strategic investments that add manufacturing capacity in net-zero technologies, directly contributing to the implementation of the Clean Industrial Deal.

The support targets additional production capacity for technologies listed in Annex II of CISAF, including solar photovoltaics, onshore and offshore wind, heat pumps and battery technologies. It also covers key components and related critical raw materials.

Aid will be granted in the form of tax credits and will be available across the entire French territory until 31 December 2028.

Teresa Ribera, Executive Vice-President for Clean, Just and Competitive Transition, said the scheme “will ensure additional clean technology manufacturing capacity in France” and support companies making key investments in the coming years, while keeping potential distortions of competition to a minimum.