Open topic: Using the Circular Cities and Regions Initiative to strengthen urban manufacturing in support of the Clean Industrial Deal

Expected outcome

Project results are expected to contribute to all of the following expected outcomes: urban manufacturers significantly increase their resource efficiency through increased circular material use or reduced overall material use per output; urban manufacturers contribute significantly to EU climate, zero pollution, circularity and biodiversity goals by engaging in clean, sustainable and circular business practices; improved knowledge sharing and proliferation of digital tools and methods that facilitate the adoption of circular business practices and enable large-scale diffusion.

Scope

The Clean Industrial Deal confirms Europe’s dedication to its decarbonisation goals by offering clear business incentives. It will help create lead markets to boost supply and demand in clean tech and energy-intensive industries (such as chemicals, cement, steel and metals), enabling the decarbonisation and industrial competitiveness of Europe at the same time. An integral focus is to support the acceleration of the roll-out of clean energy and manufacturing, to develop sectoral transition pathways and to reinforce a circular economy. The Clean Industrial Deal Communication states that “Research and Innovation (R&I) is a key enabler for promoting the next generation of clean tech, clean energy and decarbonised manufacturing in the EU. A flagship Horizon Europe call of ca. EUR 600 million under the 2026-2027 work programme supports fit-for-deployment projects. This will aim at fostering synergies between the Framework Programme for R&I and the Innovation Fund, creating a pipeline of projects from R&I to deployment.” The topics of this flagship call focus exclusively on clean tech and energy-intensive industries as described above. Therefore, this topic complements the CID flagship call and aims to support the clean transition in a specific area outside the CID flagship call where the existing CCRI network can provide capacity and expertise. Proposals should: Implement and demonstrate circular systemic solutions that help urban manufacturers overcome key barriers and challenges in their clean and circular transition and in adapting to new requirements aiming to mitigate environmental degradation , climate change and biodiversity loss. Urban manufacturing is the production of goods in urban areas, designed considering local culture and characteristics and intended to be distributed to the same local communities. Urban manufacturing is characterised by the use of local resources. In view of the multiple crises since the financial crisis of 2008, it has become obvious that the reindustrialisation of Europe is necessary. As urban centres absorb a large percentage of the world’s population and resources, they are also increasingly exposed to pollution problems, social inequality and non-diversified economic activity and will need to become more resilient, self-sufficient and resourceful. That makes the return of local production, together with its jobs and innovation, not only desirable but essential. The integration of urban manufacturing within a city necessitates the consideration of the relationship to the existing urban environment. Projects should therefore involve economic operators, local authorities, and civil society organisations. The topic requires the effective contribution of SSH disciplines and involvement of SSH experts in order to produce meaningful and significant effects enhancing the societal impact of the related activities.

What this means for cities and regions

Cities with urban manufacturing clusters, economic development agencies and the manufacturers themselves. Two-stage submission. Topic budget €18 million; 3 grants expected; around €6 million per project. Opens 4 February 2027; first stage closes 8 April 2027, full proposals 16 September 2027. Limited direct space angle.