EU countries divided over bloc's next climate goal

European Union countries are split over the bloc's next climate target, as they prepare for tough negotiations to set an EU goal to cut greenhouse gas emissions by 2040.

The European Commission is preparing a proposal for the EU's 2040 climate target, aimed at keeping countries on track between the EU's existing targets to cut net emissions 55 percent by 2030 compared to 1990 levels. It is also aiming to be climate-neutral by 2050.

Brussels had planned to propose a 90 percent net emissions cut for 2040 last month, but delayed this amid a pushback from some countries and lawmakers, who must approve the goal and are concerned about its costs for struggling European industries.

Speaking about the 90 percent commitment on the sidelines of a meeting of EU environment ministers in Warsaw, Mika Nykänen, Finland's state secretary for climate, said: "We think it's a good target. 

"We need an attractive, solid investment environment in Europe, and if we change the big targets or change the policies, it will create uncertainty among investors and companies."

Denmark, the Netherlands and Slovenia are among those backing 90 percent. Governments including Italy and Czechia oppose, citing concerns for manufacturing sectors reeling from U.S. tariffs and cheap imports.

"We don't support it just now, the reason is the impact on the heavy industry," Czech environment minister Petr Hladík said on Tuesday.

Europe getting hot

Europe is the world's fastest-warming continent and is experiencing worsening droughts and other extreme weather linked to climate change.

But governments are grappling with other priorities including industrial competitiveness. Negotiations on past EU climate targets have stoked divisions between richer and poorer countries, with coal-reliant Poland among those concerned about the cost of the energy transition.

Estonian environment minister Andres Sutt said the Baltic nation had calculated it can cut net emissions 80 percent by 2040 - but that going further would depend on whether nascent carbon capture technologies scale up fast enough to cut emissions in sectors like cement making.

"Is it going to happen? As a profound believer in innovation and technology advancement, I think it will - but before one can really commit, you need to have this flexibility," he said.

Faced with political pushback, the Commission is considering flexibilities to soften the 90 percent emissions target.

These include counting international carbon credits towards the target, which could weaken the CO2-cutting efforts it demands from domestic industries. Germany's new government has proposed this, but said credits should be limited to covering just three percentage points of the 90 percent goal.

France is also interested in the idea, if there are safeguards to ensure any international carbon credits deliver real emissions reductions in other countries, a government source said.