Public funding for French industry targets cleantech and decarbonisation
Financing the European Industrial Renaissance: green investment à la Française
Charting a path for established and new businesses
France is creating opportunities for businesses aiming to decarbonise or enter new markets, especially in green technologies. Navigating these evolving opportunities requires a nuanced understanding of the country's strategic framework.
The 'France 2030' initiative is designed to position the country as a leader in sectors of excellence, fostering future industrial champions in areas like green technologies, healthcare, and digital innovation. With a budget of €54 billion to be spent by 2030, of which €35 billion have already been invested, this strategic plan emphasises sustainability, with half of the total budget dedicated to green investments: decarbonisation and renewable energy projects.
This strategic plan seeks to enhance national and European industrial competitiveness through substantial public investments, targeted R&D support, and the scaling of innovative projects. France's efforts reflect a balance between fostering sustainability and achieving technological leadership, thereby ensuring resilience and growth.
France's support landscape presents opportunities for both established and new businesses. The country aims to balance support for existing industries with incentives to attract new investments, actively shaping its industrial future by focusing on decarbonisation and creating favourable conditions for new market entrants.
Supporting existing businesses: expansion and decarbonisation
France is dedicating substantial resources to help its industrial base transition towards a low-carbon future while expanding its operational capabilities. In 2024 alone, a total of €5.6 billion has been allocated to support decarbonisation across various sectors:
Innovative low-carbon technologies
An envelope of €450 million is earmarked for R&D and the deployment of innovative low-carbon technologies, assisting both in early-stage development and in scaling up existing solutions. Industries such as batteries or critical metals have started benefiting from these resources, with more support expected in the coming years.
Decarbonisation of industrial sites
A total of €4.05 billion is focused on direct decarbonisation of industrial sites, such as Fos-sur-Mer or Lyon. The funds are directed towards investments in emerging technologies like green hydrogen, biomass, carbon capture, and process electrification.
These initiatives are already producing significant results, with Dunkerque serving as a key example of France's decarbonisation strategy in action. The region is set to receive over €3 billion in investments by 2030, driving the development of new energy infrastructures, the decarbonisation of the steel industry, and the establishment of new gigafactories for battery production.
Strategic guidance has been crucial in helping companies navigate these opportunities. Understanding Dunkerque's funding landscape, identifying key funding stakeholders, and aligning with their priorities are essential steps for developing an optimised investment strategy that can unlock significant funding support, as demonstrated in our recent work with a steel recycling client.
Attracting new businesses: cleantech as a strategic focus
Aligning non-financial support
Building up a complex funding package
Complementing grants with financial instruments
Looking beyond cleantech for energy solutions
While green technologies remain a priority, France is also diversifying its energy mix. Building on its continued focus on advancing nuclear energy research – also previously supported under 'France 2030' – France is currently involved in EU-level discussions regarding the creation of an Important Project of Common European Interest (IPCEI) to support the nuclear value chain. Having previously participated in 11 IPCEIs, including in batteries and hydrogen most recently, France is considering joining the EU-wide support initiative for breakthrough nuclear energy projects as early as 2025.
Understanding the full spectrum of what France can offer to cleantech and energy investors, as well as the possible ways in which support can be cumulated, is crucial for making informed multi-country location selection decisions—something we have successfully supported.
France: a strategic opportunity for investors
France's combination of decarbonisation initiatives and strategic incentives makes it a key player in Europe's industrial transformation. For businesses looking to capitalise on these opportunities, understanding the evolving funding and regulatory landscape is essential to success. Ensuring your strategy aligns with these initiatives can unlock significant growth potential.
To explore how your business can benefit from public funding and leverage Europe's industrial renaissance, contact our expert team today. Let's work together to shape a sustainable, innovative future for your business.
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