Cement and construction

How low-carbon and Union-origin rules could affect cement and construction costs

Follow a cement production-cost premium through the proposed 5% qualifying-volume rule and into final construction costs.

01 · Proposed legal rule

At least 5% must be low-carbon and of qualifying Union origin

In covered public procurement and support schemes, at least 5% by volume of concrete or mortar—including its clinker and cement—must be both low-carbon and qualifying Union origin.

AND

Low-carbon + Union origin

The same qualifying volume must meet both conditions.

Scope

No auction rule

The requirement applies in covered procurement and support schemes.

Pending

Low-carbon definition

The detailed definition still requires implementing rules.

Excessive-cost thresholds

25% / 30%

Separate excessive-cost thresholds apply to procurement (25%) and support schemes (30%).

02 · Production chain

From limestone to a construction project

The model starts with a cement premium, applies it only to the qualifying volume, then weights it by the selected downstream cost share.

  1. 01 · raw feedLimestone + clayQuarried, crushed and prepared
  2. 02 · high heatKiln + clinkerCalcination and kiln fuel drive most emissions
  3. 03 · finishGrinding + blendingClinker is ground with gypsum and other materials
  4. 04 · productCementThe production premium enters the model here
  5. 05 · specified volumeConcrete / mortarThe qualifying share applies by volume
  6. 06 · final useConstruction projectThe effect shrinks with cement's share of the project cost
03 · Published context

Published low-carbon cement cost estimates vary

These studies use different technologies and cost bases. Their ranges are shown for context and do not feed the core model.

Material Economics

European large-scale cement with CCS

15–40%

Large-scale production

RSC Sustainability

Mature European net-zero pathway

40–63%

Mature-technology scenario

VUB

Climate-friendly cement

33–78%

At least 80% direct-emissions reduction

CEMCAP

Clinker with carbon capture

49–92%

Clinker cost, not delivered cement

IEA

Early-commercial near-zero cement with CCS

75–150%

Regional 2024 energy inputs

04 · Explore the model

Adjust model assumptions

Cement production

Low-carbon cement premium

VUB — upper climate-friendly cement estimate

78%
Legal share

Qualifying concrete or mortar volume

5%

Both conditions apply to this same volume.

Final use

Downstream cost share

Cement share of final cost1.1%
Sources

Evidence used on this page

Open any source for the exact locator and what it compares.

Proposed cement requirement

COM(2026) 100

The proposal has not been adopted. Future Construction Products Regulation acts will set the low-carbon classes. Origin follows the Union Customs Code and the proposal's partner-country equivalence rules.

Commission cost estimate

Commission IA 2026

The 20% estimate is kept as an optional preset; the VUB upper estimate of 78% is used in the core scenario. The Commission's 0.10% project estimate is shown separately because it is not derived from a cement-cost share. No separate origin cost is added in the core scenario, reflecting the impact assessment's supply assumption rather than a measured zero.

Low-carbon production range

Material Economics

European large-scale production-cost range. It does not determine whether a product will meet the IAA's future low-carbon class.

Low-carbon cement scenarios

VUB 2024

The report defines climate-friendly cement by a large direct-emissions reduction and uses an older cement-price basis. The upper 78% production estimate and its 1.1% aggregate public-construction cost share are used in the core scenario; neither figure is a cement share for every individual project.

Clinker cost range

CEMCAP

Clinker-cost effect of carbon-capture configurations, not a delivered cement premium or a legal-compliance estimate.

Early-commercial production range

IEA 2025

Production-cost range using regional 2024 energy inputs. The estimate excludes explicit carbon prices and policy support and does not vary non-energy capital or operating costs by region.

Mature net-zero cost estimate

RSC Sustainability 2024

Peer-reviewed European mature-technology scenario. The implied range is rounded to 40–63%, and 50% is used only as an optional sensitivity.

Construction cost shares

Rootzén & Johnsson

Representative European downstream cost shares from a 2016 study. They are used as editable cost shares and do not describe every tender or project.

Origin-cost context

Cement Europe 2026

Trade volumes only. They do not provide a matched price premium or determine qualifying origin under the proposal.