France, Germany, Italy and Poland are urging the European Commission to draw up a dedicated European Action Plan for the household appliances sector, a major steel consumer.
In a note obtained by Kallanish they warn that the industry is under mounting pressure from soaring energy costs, rising input costs and unfair competition from third-country producers.
The four countries made the call ahead of the Competitiveness Council meeting last week, urging the Commission to recognise the sector as a strategic industrial ecosystem.
The sector contributes approximately €79 billion ($90.1 billion) to European GDP, and employs around 1 million people directly and indirectly across 3,200 companies and 130 production plants in the European Economic Area.
The steel sector is directly concerned, as household appliance manufacturing involves a wide value chain including steel, plastics, electronics, logistics, repair and recycling.
The EU market share of household appliances originating from Asia has grown from 15.3% in 2014 to 28.2% in 2024, while European production has contracted from 81.3% to 71.4% over the same period, triggering a wave of plant closures.
The proposed action plan should combine short- and medium-term competitiveness measures, ensuring a well-functioning Single Market. This includes strengthening market surveillance and enforcement, reducing unnecessary administrative burdens for manufacturers, optimising use of European financial resources, improving product origin transparency, and leveraging circular economy policies.
Additional measures to accelerate the green transition should include regularly reviewing the Carbon Border Adjustment Mechanism (CBAM) for further criteria-based downstream extension, the member states note.
In his response during Thursday’s Competitiveness Council session, European Commission Executive Vice-President for Prosperity and Industrial Strategy Stéphane Séjourné said the Commission has already taken steps to support the appliance sector, such as the Circular Economy Act, CBAM revision and rebalancing of trade ties with China. He nevertheless added he would deliberate the need to work on a specific plan for the sector or a text which brings existing measures together.
Industry association Applia, which represents home appliance manufacturers in Europe, warned earlier this month that Europe’s home appliance market sales ended 2025 at roughly 170 million units, dropping back to 2015 levels. Its manufacturers face globally uncompetitive energy prices, expanding regulatory burden and an influx of low-value products from outside the EU, it added.
“Europe faces a defining challenge: to maintain industrial leadership while advancing a clean, competitive and fair transition,” said Applia president Reinhard Zinkann. “For industry to keep delivering, Europe needs the right conditions: a stable and predictable regulatory framework, a strong Single Market and a level playing field for all actors.”
