The next generation of EU partnerships: Making Clean Trade and Investment Partnerships (CTIPs) work for climate, industry and development

This policy brief by the NewClimate Institute examines the European Union's new Clean Trade and Investment Partnerships (CTIPs), starting with negotiations launched in March 2025 with South Africa. The document outlines how CTIPs are intended to align EU industrial policy with external action to diversify supply chains and foster clean energy cooperation, while providing a more flexible, sector-specific alternative to comprehensive Free Trade Agreements.

• Launched in March 2025 within the framework of the Clean Industrial Deal, Clean Trade and Investment Partnerships (CTIPs) are designed to complement existing trade agreements using a "faster, more flexible, and more targeted approach" to align EU industrial policy with external actions, reshape global supply chain dependencies, and support regulatory cooperation.
• CTIPs are positioned as a middle ground between time-consuming Free Trade Agreements (FTAs) and non-binding memoranda of understanding (MoUs) on Critical Raw Materials, which the document notes often lack "enforceable commitments on value addition, adequate investments and a transparent negotiation and monitoring process."
• For CTIPs to be effective, the EU must avoid simply repackaging existing financial commitments and instead use innovative instruments—such as guarantees and blended finance—to de-risk and mobilize private capital, as public investments alone are insufficient due to the high cost of capital in many developing countries.
• The document identifies a need for a "whole-of-government approach" to overcome internal EU fragmentation, suggesting the alignment of various Directorates General (including DG TRADE, GROW, CLIMA, ENER, INTPA, and MENA), the EEAS, and Member State ministries to ensure the EU speaks with one voice during negotiations.
• To ensure credibility and avoid being seen as "pledging without delivering," the EU must provide partners with transparency regarding financial flows, clear timelines for commitments, and jointly defined, measurable targets for monitoring progress.

APA

NewClimate Institute (2025). The next generation of EU partnerships: Making Clean Trade and Investment Partnerships (CTIPs) work for climate, industry and development. http://www.newclimate.org/resources/publications/joint-policy-brief-making-ctips-work-for-climate-industry-and-development

Chicago

NewClimate Institute. The next generation of EU partnerships: Making Clean Trade and Investment Partnerships (CTIPs) work for climate, industry and development. 2025. http://www.newclimate.org/resources/publications/joint-policy-brief-making-ctips-work-for-climate-industry-and-development.

Wikipedia

{{cite report |author=NewClimate Institute |title=The next generation of EU partnerships: Making Clean Trade and Investment Partnerships (CTIPs) work for climate, industry and development |date=23 September 2025 |url=http://www.newclimate.org/resources/publications/joint-policy-brief-making-ctips-work-for-climate-industry-and-development |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{newclimateinstitute2025next, author = {{NewClimate Institute}}, title = {{The next generation of EU partnerships: Making Clean Trade and Investment Partnerships (CTIPs) work for climate, industry and development}}, institution = {NewClimate Institute}, year = {2025}, month = sep, url = {http://www.newclimate.org/resources/publications/joint-policy-brief-making-ctips-work-for-climate-industry-and-development}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }