The chief executive of BASF, Europe's largest chemical complex, has issued a stark warning about the unprecedented pressure facing European industry. Markus Kamieth, in an op-ed for the Financial Times, highlights alarming declines in investment within the chemical sector, noting an 80% drop in 2025 and a doubling of plant closures. He criticizes the European Union's emissions trading system as outdated and detrimental to industrial competitiveness, emphasizing that Europe is the only region imposing such heavy penalties for pollution, which stifles growth and innovation.

Kamieth's concerns reflect a broader sentiment among Czech industrial leaders who report irreversible changes within their industries, as a deindustrialization trend accelerates across Europe. Although the government is proposing assistance measures, opposition leaders criticize these offerings as empty promises that do not effectively address the core issues facing the industrial sector. The potential financial burden on companies like BASF, which already pay hundreds of millions of euros for emission rights, could escalate to billions annually in the near future, raising concerns about the viability of industrial operations.

The chemical sector's troubles are particularly worrying as it serves as a vital supplier for many other industries, making its health a key indicator of overall economic stability in Europe. The challenges faced by this sector could have far-reaching implications not only for employment but also for Europe’s position as a global industrial leader. Without strategic policy changes and support, the industry may continue to decline, raising questions about the future of manufacturing on the continent.