Brussels is fully committed to a fossil-free future for European industry. The Circular Bio-based Europe Joint Undertaking (CBE JU) announced in mid-January 2026 that €172 million will be allocated to 24 new innovation projects. This investment should pave the way for the large-scale production of sustainable materials, chemicals, and fuels on European soil.
The award is the result of a highly competitive selection process. From a total of 248 submitted proposals, collectively requesting an investment of over €1,4 billion, the European Commission selected the most promising initiatives. The enormous interest underscores the sector's urgent need for capital to make the risky transition from laboratory to commercial plant.
The leap to market
A significant portion of the budget is reserved for so-called flagships. These are the first plants of their kind that will demonstrate on a commercial scale that a bioeconomy is not only technically feasible but also economically viable. By investing at this level, Europe is attempting to bridge the gap where many innovations have previously stalled: financing the first large-scale facility.
In addition to these industrial flagships, investments are being made in projects focused on the full valorization of residual flows. This includes converting agricultural waste into high-quality building blocks for the textile industry and developing bio-based fertilizers that reduce the agricultural sector's dependence on fossil fuels.
Strategic autonomy and the role of the Netherlands
The overarching goal of this multi-million euro injection is to strengthen Europe's strategic autonomy. By utilizing domestically sourced bioresources, dependence on imports of fossil fuels and critical materials will be reduced. Although the final list of consortium partners will not be officially presented until May 2026, after the contracts are signed, the Dutch knowledge community and industry are expected to play a key role.
The Netherlands is internationally renowned for its advanced chemical and agrifood clusters in regions like Rotterdam, Terneuzen, and the Greenports. These clusters are ideally positioned to translate European funding into concrete innovations. Synergy with national programs like BioBased Circular strengthens this position, ensuring the Netherlands remains a crucial player in achieving a circular economy.
The selected consortia are currently preparing the final details so that work can officially begin in the spring. For entrepreneurs who missed out this time, there's already a new perspective. The work program for the next round of 2026 has already been presented, with a similar budget of over €170 million to further accelerate the transition. The new calls for proposals will open on April 23rd.
The complete overview of the funding results and the new annual program can be found on the official website of the CBE JU: CBE JU News – 24 new projects to start in 2026
Photo: Dee Karen, Adobe Stock
