Inside the 2025 Commission Work Programme: Priorities for the Next EU Mandate

2025 marks the first full year of the second Ursula von der Leyen Commission, making this year’s Commission Work Programme a key document for understanding the direction that EU policy will take in the upcoming mandate. This program sets the Commission's course for the next five years, focusing on reducing bureaucracy, boosting competitiveness, and enhancing strategic autonomy.

FiscalNote EU Issue Tracker analysts analysed the headline policy actions announced by the Commission in the 2025 Work Programme and other key strategy documents to identify the main themes and priorities to expect from EU lawmaking until 2029. 

Table of Contents

• Agriculture 
• Business and Consumer 
• Chemicals 
• Digital and Connectivity 
• Energy and Climate Action 
• Financial Services 
• Social Policy 
• Trade 
• Transport 
• How You Can Stay Informed on EU Policy 

Agriculture

The new Commission is expected to base its agricultural policy for the next five years on the recommendations provided by the 2024 Strategic Dialogue on the Future of EU Agriculture and the Vision for Agriculture and Food published in February that call on the EU to intensify its efforts to support farmers and make the EU agricultural sector more competitive. 

This policy aims to reduce the administrative burden in the agricultural sector, promote innovation, and address unfair trade practices. The Commission also intends to continue prioritising sustainability, animal welfare, and the resilience of the farming industry by adopting ongoing legislative files and publishing strategic documents.  

A key focus of EU policy will be to boost European farmers' incomes through a proposed Regulation, presented on December 10, 2024, which supplements the Unfair Trade Practices (UTP) Directive by providing authorities with additional enforcement tools and enhancing cooperation between Member States. An evaluation of the UTP Directive is scheduled to be launched in the third quarter of 2025.

The Commission aims to make supply chains fairer by ensuring transparent contracts and enhancing support for farmers through its proposal to amend the Common Market Organisation Regulation, the CAP Strategic Plans Regulation, and the CAP Horizontal Regulation. To alleviate administrative burden for farmers and national administrations, the Commission will present an Omnibus proposal simplifying the CAP in the second quarter of 2025. Discussions regarding the structure and size of the CAP budget are ongoing, and the Commission is expected to submit a proposal on the post-2027 CAP budget in 2025.  

The Commission is also expected to publish a new Bioeconomy Strategy to promote innovation and a Generational Renewal Strategy to maintain the dynamism and attractiveness of the EU agricultural sector in 2025. 

The Commission plans to release a Water Resilience Strategy in the second quarter of 2025 to enhance the EU's ability to adapt to changing water resource availability. At the same time, the European Parliament is working on an “own-initiative Report” to lay the foundation for the Commission’s strategy by emphasising the integration of water sustainability into all EU policies. This Report is scheduled to be adopted in May of this year. 

To ensure a level playing field for operators across the EU, support innovation, competitiveness, and sustainability, the Commission introduced two legislative proposals to revise existing legislation on the production and marketing of plant and forest reproductive materials (PRM/FRM). The proposed Regulations focus on strengthening the legal framework to support innovation, ensuring the availability of resilient PRM/FRM, promoting the sustainable use of genetic resources, harmonising controls, and aligning PRM/FRM rules with plant health legislation. The new PRM/FRM rules are provisionally expected to be adopted by the co-legislators by the end of 2025. 

The proposed Soil Monitoring and Resilience Directive, aiming to establish a soil monitoring framework and ensure that EU soils are healthy by 2050, is undergoing its third round of interinstitutional negotiations in April 2025. If these negotiations are successful, the measure will be adopted by the Council and the European Parliament in the coming months. 

The EU will continue to work on finalising the Regulation establishing an EU-wide Forest Monitoring Framework, which will provide open access to detailed and timely information on the condition and management of EU forests. The Regulation is expected to be adopted in the second quarter of 2025 and aligns with the objectives of the EU Forest Strategy. 

To boost the competitiveness, innovation capacity, and sustainability of the EU plant breeding sector, the Commission presented a proposal on plants obtained through new genomic techniques (NGTs) and their use in food and feed in July 2023. The new measures would adapt EU rules to the technological developments of recent decades, allowing for the breeding of plant varieties that are more resistant to the effects of climate change and require less fertiliser and pesticides. Negotiations between the co-legislators are likely to take place in the coming months, with the aim of adopting a compromise by the end of 2025 or early 2026. 

Agriculture will remain a priority for the EU in the coming years, and the Commission will continue its efforts to reduce administrative burdens and enhance competitiveness and innovation in the agricultural sector. Through key legislative initiatives — including the PRM/FRM package, the new UTP Regulation, the NGT Regulation, and reforms to the CAP and animal welfare legislation — along with strategic documents like the Water Resilience Strategy and the Generational Renewal Strategy, the EU aims to boost competitiveness and enhance sustainability by providing farmers, Member States, and businesses with the necessary tools to succeed.

Business & Consumer

The Business and Consumer Policy area, which broadly monitors EU initiatives affecting business operations and the enforcement of consumer rights, has undergone significant changes since the beginning of the new legislative mandate. This transformation has been further cemented by the publication of the 2025 Commission Work Programme, which outlines the European Commission’s legislative priorities for the year ahead and provides a roadmap for the remainder of this mandate.

A key focus of EU policymaking in this area is enhancing European competitiveness by reducing regulatory burdens on businesses, many of which have faced complex and overlapping reporting obligations in recent years. A notable step in this direction was the publication of the first Omnibus package on sustainability on February 26, 2025. This package streamlines the implementation of key legislative files, including the Corporate Sustainability Due Diligence Directive (CSDDD), the Corporate Sustainability Reporting Directive (CSRD), the Taxonomy Regulation, and the Carbon Border Adjustment Mechanism (CBAM).

At least one additional Omnibus package is tentatively scheduled for May 21, 2025, which will introduce a formal definition of small mid-caps and remove certain paper-based reporting requirements. Further Omnibus packages are expected later in the mandate, signalling a continued effort to simplify regulatory compliance and support business growth across the EU.

In addition to reducing regulatory burdens on businesses, the European Union is also expected to address structural obstacles hindering the optimal functioning of the Single Market. A key priority will be ensuring the effective implementation of existing rules and the swift removal of barriers that impede the cross-border provision of services and the free movement of goods. This includes a particular focus on maintaining the flow of essential goods during times of crisis, reinforcing the resilience of the Single Market.

The European Commission is expected to unveil a new consumer rights policy strategy later this year, outlining a comprehensive framework of measures to be implemented through to 2030. This strategy aims to strengthen consumer protection across the Single Market, ensuring that individuals can fully exercise their rights while addressing enforcement gaps in existing legislation. Particular emphasis will also be placed on safeguarding vulnerable consumers, ensuring they receive adequate protection in an evolving digital and economic landscape.

Anticipated Legislation 

The European Commission is set to introduce several new legislative initiatives to advance its Business and Consumer Policy agenda. These proposals aim to strengthen the Single Market, reduce regulatory burdens, and foster innovation and consumer protection.

Following the expected publication of a new Omnibus package on May 21, 2025, which will introduce a formal definition of small mid-caps, the Commission is also set to present the Horizontal Single Market Strategy on the same day. This Strategy will focus on ensuring the full implementation of existing rules and the swift removal of barriers that hinder the smooth functioning of the Single Market.

Later in the year, the Commission is expected to unveil the European Business Wallet initiative, which aims to simplify business-to-business (B2B) and business-to-government (B2G) exchanges. This initiative will also facilitate secure data exchanges, making business operations more efficient and seamless.

On May 28, the Commission plans to introduce the EU Start-up and Scale-up Strategy. This initiative aims to address the structural barriers that prevent new companies from emerging and scaling up, thereby fostering a more supportive business environment for start-ups and SMEs across the EU.

In the area of consumer rights, the EU Consumer Policy Strategy for 2025-2030 is expected to be published towards the end of 2025. This Strategy will assess weaknesses in existing consumer protection legislation and explore potential updates to strengthen enforcement, ensuring consumers fully benefit from the Single Market.

By early 2026, the Commission is set to present the European Innovation Act, which aims to enhance companies’ access to European research and technology infrastructures. It will also facilitate the use of regulatory sandboxes, allowing businesses to test innovative ideas in controlled settings before wider implementation.

Another significant initiative expected by early 2026 is the 28th Legal Regime, which will establish a harmonised EU-wide framework for businesses operating across the Single Market. This regime is tentatively expected to be voluntary and would provide a single set of rules covering areas such as corporate law, insolvency, labour law, and taxation, reducing compliance costs and minimising legal uncertainties for companies investing and expanding within the EU.

These upcoming initiatives underscore the Commission’s commitment to strengthening the competitiveness, efficiency, and resilience of the European Single Market while ensuring robust consumer protection.

In the coming years, the Business and Consumer Policy agenda will play a crucial role in shaping the regulatory landscape of the Single Market. The Commission’s efforts to reduce bureaucratic burdens, enhance competitiveness, and reinforce consumer protections reflect a broader commitment to fostering a more dynamic, resilient, and inclusive economic environment. 

By introducing key legislative initiatives such as the Omnibus packages, the EU Start-up and Scale-up Strategy, and the European Innovation Act, the EU aims to address long-standing market inefficiencies while equipping businesses and consumers with the tools they need to thrive. As these reforms take shape, their successful implementation will be crucial in ensuring that businesses can operate more smoothly across borders, consumers can benefit from stronger protections, and the Single Market remains a cornerstone of economic growth and stability within the European Union.

Chemicals

The Commission will increase its focus on supporting and strengthening the competitiveness of the chemicals industry. Two major initiatives announced in the Commission Work Programme will drive this effort: the Chemical Industry Package and a revision of the REACH Regulation.

The Chemical Industry Package, to be presented by the end of 2025, is expected to introduce measures that ensure competitiveness within the chemical industry while safeguarding human health, the environment, and the supply of essential chemicals. The proposed measures would then be rolled out over the next few years. 

This package aims to address the multiple challenges that the chemical industry is facing, which include high energy prices, low productivity, and competition from outside the EU. This means that the EU would need to take measures to stimulate investment, modernise infrastructure, and maintain production capacity.

As part of this Package, France and several other Member States have called for a "Critical Chemicals Act" to support the EU chemicals industry. This Act would be inspired by similar initiatives such as the Critical Raw Materials Act. Specifically, France and the other Member States proposed creating a list of chemicals essential for maintaining the EU's competitiveness. They also proposed to provide measures to support the production of these chemicals while working towards decarbonising the production process.=

The revision of the EU’s chemical rules, the REACH Regulation, is also anticipated to be presented towards the end of this year. The Commission aims to simplify these rules in a targeted manner while maintaining a high level of protection for both human health and the environment. 

The REACH Revision is expected to cover all elements of the Regulation, including registration and evaluation, as well as authorisation and restriction procedures. The issue of enforcement will also likely be addressed. 

In particular, the Commission is considering changes to registration and information requirements, a potential expansion of the generic risk management approach, and the inclusion of upfront discussions and assessments of regulatory options. The revision may introduce a Mixture Allocation Factor to address combined exposure.

Both the Chemical Industry Package and the REACH revision are part of the broader objectives to strengthen the EU’s competitiveness while simplifying the existing legislative framework. 

Beyond 2025, the Commission will address the issue of PFAS, also known as “forever chemicals,” through a possible ban on the substances in consumer products. 

However, the phase-out of PFAS is a complex undertaking due to their widespread use across various industries and applications. The European Chemicals Agency (ECHA) is currently formulating its scientific opinion on this matter, a process expected to continue until the end of 2025. The Agency is assessing each sector or use and will begin working on crucial applications, such as electronics and semiconductors, starting in the second semester of 2025. 

Based on the Agency’s evaluation, the Commission will present a measure for phasing out PFAS. The Commission has already provided indications on possible exemptions for certain essential industrial applications, such as semiconductors and medical devices. These derogations would align with the broader objectives of competitiveness and simplification.  

Digital and Connectivity

The digital landscape is constantly evolving, presenting the EU with the ongoing challenge of balancing technological progress and innovation with regulatory requirements. To address this, the 2025 Commission Work Programme outlines a roadmap for the year ahead, highlighting key trends and initiatives that will shape EU Digital Policy in the coming years.

For this legislative mandate, a primary objective of EU policymaking is to enhance digital infrastructure and promote technological independence, while fostering innovation and competitiveness. A significant advancement in this realm was the unveiling of the Commission Communication for an AI Continent Action Plan on  April 9, which delineated various crucial areas and measures aimed at enhancing AI infrastructure, facilitating access to top-tier data, promoting AI implementation in key EU sectors, enhancing AI skills and talent, and reducing regulatory obstacles to establish the EU as a frontrunner in AI.

Anticipated Legislation 

In the coming months, the European Commission is set to introduce several new initiatives to advance its Digital Policy agenda, aiming to enhance the EU’s technological sovereignty, strengthen digital infrastructure, safeguard strategic assets, interests, autonomy, and security, reduce regulatory burdens, and boost competitiveness and innovation.

In the second quarter of 2025, following the release of the Commission's Communication for an AI Continent Action Plan in early April, the Quantum Strategy will take centre stage, focusing on accelerating research and development in quantum computing, quantum communication, and quantum sensing. 

By laying out a roadmap for developing quantum capabilities, this Strategy, to be followed by a Quantum Act in 2026, is expected to stimulate progress in quantum technologies and maintain Europe's competitive advantage in this growing field. Specifically, the envisioned Strategy aims to position Europe as a pioneer in quantum technologies through investments, cooperation, and innovation, all while safeguarding strategic assets and interests, enhancing autonomy and security, and reducing dependence on external sources.

In Q3, building on the third pillar of the AI Continent Action Plan, which focuses on fostering innovation and accelerating AI adoption in strategic EU sectors, the Commission is set to introduce its Apply AI Strategy. This Strategy aims to accelerate AI adoption across various sectors, including public administration, in alignment with the Draghi Report. The Strategy will focus on key European industrial sectors with untapped AI potential, such as advanced manufacturing, aerospace, security and defence, agri-food, energy, environment, mobility, pharmaceuticals, biotechnology, robotics, and cultural industries. 

The public sector will also play a significant role, using AI to improve services in healthcare, justice, education, and administration, while ensuring equal opportunities and economic security. Lastly, the Strategy will address sector-specific challenges and recommend establishing an observatory within the EU AI Office to monitor progress.

The most significant developments in digital policy are anticipated toward the end of the year (Q4), when the Commission is set to unveil the highly anticipated Digital Networks Act, alongside a Fitness check and a Digital Simplification Package.

Initially announced in 2022 and subsequently paused due to negative stakeholder feedback, the Digital Networks Act (DNA) is now scheduled for presentation in the fourth quarter. Informed by the insights of the 2024 White Paper on EU Digital Infrastructure Needs and guided by the Commission's commitment to strengthening the EU's technological independence and fortifying digital infrastructure, this forthcoming initiative will tackle the challenges arising from the fragmentation of the telecommunications market, radio spectrum licensing, and convergence issues between cloud and telecommunications providers. Therefore, the anticipated Digital Networks Act will aim to establish a unified market for connectivity, standardise spectrum authorisation, and enhance market incentives.

As part of this mandate's drive to alleviate regulatory and administrative burdens to enhance competitiveness, the digital policy landscape is also expected to undergo significant reshaping throughout the year. In particular, the Commission is set to conduct a fitness check of the legislative acquis in this domain and subsequently introduce a legislative proposal for simplifying the Digital Package. This initiative will prioritise the revision of the Cybersecurity Act, the streamlining of cybersecurity legislation to enhance reporting efficacy and reduce duplication, and the evaluation of the efficiency of current digital regulations for enterprises, particularly SMEs and small midcaps, alongside the provision of clear compliance guidance.

As part of this mandate’s effort to reduce regulatory and administrative burdens to boost competitiveness, the digital policy area is also expected to undergo significant transformation in this direction during the year.

In particular, the Commission will come forward with a fitness check of the legislative acquis in this policy area as well as with a legislative initiative for the simplification of the Digital Package, which will especially focus on the revision of the Cybersecurity Act and the streamlining of cybersecurity laws to improve reporting efficiency and prevent redundancy, as well as on the assessment of the effectiveness of current digital regulations for businesses, particularly SMEs and small midcaps, and the issuing of clear compliance guidance. 

Lastly, alongside the unveiling of the new proposals planned for 2025, the Commission Work Programme also revealed its intention to withdraw two proposals in the digital policy area: the e-Privacy Regulation and the AI Liability Directive. The Commission cited the lack of anticipated agreements as the rationale for this move; however, while there have been no objections from the co-legislators regarding the e-Privacy Regulation, the same cannot be said for the proposed AI Liability Directive. The withdrawal of the e-Privacy Regulation follows nearly two years of dormancy on the issue, rendering it outdated. On the other hand, the decision to withdraw the AI Liability Directive has sparked debates in the European Parliament, where Members of the European Parliament (MEPs) hold differing views. Despite this, the Commission's decisions in both cases are not definitive and await the formal decisions of the co-legislators, which are expected by August 2025.

Energy and Climate Action

The European Commission has prioritised the energy sector since the beginning of its mandate, with the ongoing consequences of Russia’s invasion of Ukraine being a significant factor in the EU energy market. The Commission and Member States have leveraged REPowerEU to eliminate dependence on Russian energy sources, while introducing measures to curb skyrocketing energy prices within the EU. In a period when climate change is increasingly affecting everyday activities, the Commission is intensifying efforts to align its climate change initiatives with these challenges, focusing on goals for 2040 and 2050.

On February 26, the Commission presented the Clean Industrial Deal and the Action Plan for Affordable Energy, outlining a series of actions aimed at supporting energy-intensive industries and vulnerable households, while promoting decarbonisation and climate action. 

Among key initiatives is the REPowerEU Roadmap, which provides a timeline and specific measures to eliminate the EU's reliance on Russian energy sources and boost the uptake of renewables. Within this scope, the EU would also examine potential measures to ensure EU energy security and mitigate extreme price volatility. Disruptions to energy supplies caused by geopolitical tensions, cyberattacks, deliberate attacks, or extreme weather events threaten affordability. Consequently, this initiative would aim to increase the resilience of the EU’s energy system.

Additionally, ongoing preparations to extend the Gas Storage Regulation until 2027 are underway, aiming to offer flexibility to Member States ahead of the upcoming winter season. These initiatives would be crucial in building a genuine Energy Union that offers predictability and affordability for citizens and industries.

In its effort to reduce energy prices, the Affordable Energy Action Plan aims to build upon the forthcoming revision of the Energy Taxation Directive by creating more efficient network charges to lower energy system costs, eliminating electricity taxation, and removing non-energy cost components from energy bills. The Plan also provides guidelines to enable consumers to switch to cheaper energy suppliers while addressing energy poverty. These measures will align with the Commission’s plan to introduce a Citizens Energy Package by the third quarter of 2025, which seeks to lower energy bills and provide funding to support the completion of the Energy Union.

In terms of Climate Action, which reflects the EU's goal to achieve climate neutrality, the Commission is set to present the Climate Target for 2040 alongside the amendment to the European Climate Law in the coming months. Despite several postponements, the Commission continues to seek an appropriate balance between climate ambitions, competitiveness, and the new political landscape shaped by recent leadership changes in the United States. 

As part of this complex political environment, the EU is preparing the Industrial Decarbonisation Accelerator Act, expected to be published by the fourth quarter of 2025. This Act aims to promote innovation, uphold EU environmental and social standards, and ensure fair competition. The Commission intends to apply non-price criteria to the EU budget and public procurement to benefit energy-intensive industries. 

Moreover, the Industrial Decarbonisation Accelerator Act would introduce a voluntary label for the carbon intensity of industrial products, using a simple methodology based on EU ETS data and the CBAM Regulation. This should serve as the basis for further engagement in international efforts to measure carbon intensity. 

Energy Policy and Climate Action are poised to play a critical role in shaping EU policy in the coming years. Recent events have underscored the vital importance of energy independence for both citizens and industries still recovering from the energy crisis triggered by Russia's invasion of Ukraine. While sanctions serve as a political signal that Russia is being held accountable for its actions, they need to be comprehensive and prevent any deviations or bypasses. In light of recent shifts in climate policy, particularly the United States' retreat from the Paris Agreement, the EU is now viewed as the leading political and economic force committed to upholding the values of climate neutrality, especially as COP30 approaches.

Financial Services

The Financial Services area has received considerable attention due to the publication of the 2025 Commission Work Programme and the Communication on a Savings and Investment Union (SIU). Both documents outline the European Commission's legislative priorities for the coming years, with a specific focus on proposals to be published by the end of 2025.

According to the European Commission, competitiveness will be achieved by implementing the SIU. The SIU will involve removing barriers that prevent capital from flowing across Member States, which will require enhancing market infrastructures, reducing supervisory divergence across Member States, and encouraging citizens and companies to invest in financial products.

One area that has received particular attention in the drive to make Financial Services more competitive has been sustainable finance. Stakeholders have raised concerns that the system has become prohibitively expensive, difficult to implement, and has not yielded sufficient benefits for companies or investors.

Anticipated Legislation

The European Commission has already presented a draft amendment to the Taxonomy Delegated Regulations, which would reduce the number of companies required to report sustainability information and simplify reporting for those still within the text’s scope. Additionally, the Commission will revise the Sustainable Finance Disclosure Regulation (SFDR) to simplify the transparency requirements that financial market participants must communicate to investors.

Private pension plans across the EU remain highly fragmented, and fees are generally high for these products. This is a key issue as pension funds invest in long-term products, and citizens need to use their savings to plan for the future. The European Commission has announced that it will review the two laws governing supplementary pensions in the EU, the Pan-European Personal Pension Product (PEPP) and the institutions for occupational retirement provision (IORPs), by the end of 2025.

A lot of discussion in the EU regarding Financial Services has focused on securitisation. Stakeholders agree that the current Securitisation Framework is very restrictive and is preventing banks from providing loans to businesses. The Commission is expected to present a review of the framework in June 2025, which could reduce due diligence requirements, amend the requirements for the simple, transparent and standardised (STS) label, or harmonise national requirements surrounding securitised products.

Supervision of the Financial Services industry remains a difficult challenge for the EU. Supervision in most areas is divided between supervisors at the national level and the EU level, leading to unequal supervisory rulings depending on the country where financial institutions operate, and presenting challenges in supervising companies that operate across EU borders. The Commission is expected to present a proposal at the end of 2025 to transfer certain supervisory tasks to the European Supervisory Authorities (ESAs), namely the supervision of crypto-assets and the supervision of financial institutions with a significant business presence across EU borders.

The Financial Services agenda will be busy throughout the next few years to reduce the burdens that stop the expansion of capital markets in the EU, and to ensure that investments are conducive for citizens to gain more money from their savings, to increase the money flowing towards sustainable investments in the EU, and to reduce the cost of conducting business for financial institutions.

Social Policy

The current Commission began its mandate by focusing on social policies, among other areas, and will aim to deliver on its promise to support people, strengthen societies, and the EU social model. Furthermore, the Commission has reiterated its commitment to focusing on education, particularly in areas such as adult education, reskilling, vocational education and training (VET), and the potential of AI in education.  

To achieve these goals, the Commission has decided to take various steps and propose several initiatives that will contribute to the aforementioned promises. 

One of the first flagship initiatives introduced by the Commission in relation to social and employment policy was the Communication on the Union of Skills, presented on March 5, 2025. In its Communication, the Commission focused on raising the level of basic skills in the EU, providing opportunities for adults to upskill and reskill, attracting skills and talents from outside the EU, and facilitating businesses recruiting talent across the EU. Furthermore, the Commission teased the presentation of various initiatives which will focus on skills, digitalisation of education, teachers, higher education, and VET. 

Among those initiatives, the Commission is expected to present mainly non-legislative files related to skills, education, jobs, AI, and common recognition of qualifications. The first initiatives are expected to be published in late 2025 and continue to be rolled out by the Commission throughout 2026 and 2027. The initiatives will strengthen the current policy landscape, build on existing legislation, and introduce new and improved ways for Member States to facilitate skills recognition, job recognition, and the movement of workers throughout the EU.

The Commission will also focus on further implementing the European Pillar of Social Rights, which has served as a guiding framework for social and employment policies since 2017. Therefore, the Commission has decided to present an Action Plan on the implementation of the European Pillar of Social Rights in the fourth quarter of 2025. Due to various changes taking place in European societies, the Action Plan is expected to focus on initiatives that assess how digitalisation is impacting the world of work. Moreover, the Commission will likely address topics such as AI management, telework, and the impact of the “always on” culture on individuals' mental health.

To follow the topic of jobs in the EU, the Commission will also present the Quality Jobs Roadmap in the final quarter of 2025. The Roadmap will focus on supporting fair wages, good working conditions, and training, as well as facilitating fair job transitions for workers and self-employed individuals, particularly through increased coverage of collective bargaining agreements.

The Commission is also expected to present the Consumer Agenda for 2025-2030 in the final quarter of 2025. The Agenda will aim to address weaknesses in consumer policy, assess the need to update relevant legislation, and ensure effective enforcement.

Trade 

Whilst not having many listed initiatives in the Commission work programme, a number of significant developments have taken place that will shape the Commission’s work on trade over the coming years.  

EU-US

The largest developments in Trade have taken place regarding the EU’s trading relationship with the United States, following the tariffs imposed by President Trump. These tariffs initially affected steel and aluminium, and were subsequently extended to cars and car parts, and then to a universal tariff. Whilst currently in a 90-day pause, efforts to reach a solution will be a key part of the Commission’s work regarding trade over the coming year. 

Trade Commissioner Maroš Šefčovič has outlined that the EU’s strategy in the absence of a negotiated solution will rest on three pillars: 

1. Defending its interests through countermeasures.
2. Diversifying its trading partners. 
3. Preventing harmful diversions of trade. 

Therefore, the Commission can be expected to focus heavily on these three aspects of the EU’s trade policy over the coming year. 

EU-India 

In its work programme, the Commission outlined an intent to release an EU-India strategy. A key part of this is expected to be the EU-India free trade agreement, which Commission President von der Leyen and Prime Minister Narendra Modi announced an intent to conclude by the end of 2025. 

However, significant disagreements persist between the EU and India, particularly regarding EU climate legislation and agricultural policies. Therefore, it can be expected that the EU and India will continue to negotiate intensively throughout 2025 to meet the outlined deadlines.

Diversification

Alongside negotiations with India, the EU also aims to conclude several other key agreements in 2025 as part of its goal of diversifying its trade partners. Several negotiations are either starting or resuming and are expected to continue throughout this Commission. 

The first is the EU-Mercosur Agreement, where negotiations are concluded but Council approval and Parliamentary consent are still required. This proposed Agreement has been controversial, with several EU countries believing that it lacks sufficient safeguards for agriculture. 

Second is the EU-Thailand Agreement, which is progressing quickly in negotiations. Both parties are reportedly committed to meeting their deadline of December 25, 2025. So far, the negotiations have been far less controversial within the EU than those with Mercosur. 

Third are the negotiations with Indonesia, with the Indonesians having stated an aim to conclude the negotiations by the end of 2025. While this set of negotiations is moving more slowly than those with Thailand, the EU has stated it aims to meet the Indonesians’ ambitious timeline. 

Finally, there are several trade agreements whose negotiations are either being resumed or are just beginning, in addition to those already underway. Notably, the EU is reopening negotiations with Malaysia and Australia, and is also opening negotiations with the UAE. 

Transport

Although the Commission’s Work Programme is a useful resource for understanding the Commission’s planned actions for the coming year, it is not an exhaustive list. The 2025 Work Programme was particularly light on details regarding transport policy, naming only one new initiative for DG MOVE: the Sustainable Transport Investment Plan. According to the Work Programme, this Strategy is expected to be implemented in the third quarter of 2025 and will support the rollout of recharging and refuelling infrastructure, as well as boost green investment in the years to come.

Though only one initiative was listed in the Work Programme, the Commission still plans to undertake several other transport policy initiatives in 2025. For more details on legislative and non-legislative transport developments to expect this year, the Competitiveness Compass, Automotive Sector Action Plan, and TRAN Committee meeting of February 19 are also valuable resources. 

The Competitiveness Compass, published on January 29, outlines actions that the Commission intends to take in the short to medium term to boost European competitiveness and remove barriers to growth. Regarding transport, the Compass reiterates several industrial action plans announced in Commissioner Tzitzikostas’ mission letter, including industrial strategies for the ports and maritime industries. These are both expected to be published before the end of 2025, announcing measures to be undertaken throughout the Commission’s mandate to increase the competitiveness, security, digitalisation, and decarbonisation of European shipping. 

Also listed in the Competitiveness Compass was the Automotive Sector Industrial Action Plan and corresponding Strategic Dialogue on the Future of the Automotive Industry. The Action Plan was published on March 5, establishing a roadmap to support European car manufacturers through the green transition and an increasingly challenging global market. The Action Plan is a key document for understanding the new Commission’s vision for the automotive sector for the rest of the mandate, focusing on digitalisation, innovation, decarbonisation, and supporting the European workforce.

Among the most notable proposals for 2025 include a targeted amendment to the Emission Standards Regulation to calculate compliance with 2025-2027 emissions targets over a three-year average (which was presented in April 2025), a targeted amendment to the Eurovignette Directive extending exemptions from road charges for zero-emission heavy-duty vehicles (expected Q2 2025), and a proposal to incentivise corporate buyers to choose green vehicles (expected before the end of the year). 

The Action Plan also states that the Commission will bring forward its planned review of the Emission Standards Regulation, which is due in 2026. This assessment has been highly anticipated by stakeholders, many of whom have argued that the faster the evaluation is completed, the sooner the Commission can support the industry in meeting its 2025 to 2035 decarbonisation targets. 

Finally, during a structured dialogue with the Parliament’s Transport and Tourism Committee on February 19, Commissioner Tzitzikostas provided further details on transport initiatives expected in 2025. During this meeting, he announced a three-proposal package to digitalise and improve the accessibility of rail transport, which will be presented towards the end of the year. This package will feature a revision of the Rail Passenger Rights framework, the Single Booking and Ticketing proposal first announced in von der Leyen’s political priorities for the current mandate, and the long-anticipated Multimodal Digital Mobility Services proposal. 

How You Can Stay Informed on EU Policy 

During her second term, Commission President von der Leyen promised to reduce bureaucracy, boost European competitiveness, and enhance the EU’s strategic autonomy. The 2025 work programme offers key insights into how the Commission intends to achieve this and how it is adapting to a changing world.  

Learn how FiscalNote EU Issue Tracker can help you monitor the EU policy landscape with confidence so you can work smarter and faster. Request a demo today.