Good afternoon,

Ladies and gentlemen, esteemed members of the Chamber of Commerce,

Thank you for inviting me. Today, I will focus on a vital agenda for Europes future - Circularity. The idea of a circular economy isnt new. It benefits our climate footprint and environment. Circularity means innovation, competitiveness, and economic resilience. This is why many initiatives by the Commission this year emphasize circularity, including the Competitiveness Compass and the Clean Industrial Deal.

If we use resources smarter and keep them longer in value chains, we reduce dependency on imports. However, circularity in the EU is stuck at 12%. The business case for circularity is often weak due to cheaper virgin materials compared to recycled ones. Yet, building a business case for circularity is crucial and offers immense opportunity, especially in our current geopolitical landscape where raw material supply is unpredictable.

We must transition from linear to circular production models. This requires a systemic mindset change among companies and consumers. We support European businesses in this transition to strengthen our industrial base and provide certainty for investors. Our Circular Economy Act, to be introduced in 2026, aims to overcome market bottlenecks for secondary raw materials and services.

We plan to establish Trans-regional Recycling Hubs to facilitate cross-border investments in recycling. Despite the slow progress towards circularity, we must base initiatives on evidence. A stakeholder consultation will launch at the end of June to gather ideas. Meanwhile, measures like eco-design and chemical recycling will enhance circularity.

Ladies and gentlemen, our path is clear. The urgency of current challenges leaves no room for delay. Together, let us seize this moment and move forward step by step. Thank you.